Published Friday, 14 March, 2008 at 05:31 PM

Minister for Main Roads and Local Government
The Honourable Warren Pitt

Government to take legal action against Umagico Aboriginal Council

The Queensland Government has commenced legal proceedings against Umagico Aboriginal Council after the council ignored a State Regulation overturning a series of council decisions that will have significant impacts on the soon-to-start Northern Peninsula Area Regional Council.

Local Government Minister Warren Pitt wrote to council on 12 March 2008, advising that the State had overturned its decisions to transfer council assets and employees to a private corporation.

Mr Pitt said council had disregarded the State’s advice on this matter.

“The Queensland Government will seek an immediate court injunction to prevent council from illegally processing any further transfers,” Mr Pitt said.

“I am currently awaiting advice from Crown Law to see what potential legal implications this may have for council, the councillors and the chief executive officer.

“The council decisions to allow the transfer of assets and employees to a private corporation, Alau Enterprises Limited, have been overturned.

“This means that no council officer has the authority to remove or transfer council-owned property, funds, assets or employee contracts. The government views this action as not only illegal, but not in the best interests of the community.

“We are currently exploring all legal avenues, which potentially could include criminal law charges and or action under the Local Government Act.  I urge the chief executive officer to immediately cease and desist any further dealings with Alau Enterprises Limited.

“As minister, I have given a commitment that where appropriate, council operations and assets in Indigenous councils will be allowed to be transferred to community owned and operated enterprises.

“However, this will only be permitted to occur when I am convinced that the enterprise has the appropriate structure, community representation and corporate governance requirements in place.”

Media contact: Minister Pitt’s Office 3227 8819