Andrew Mathieson
A council audit has discovered thousands of dollars in financial irregularities at Norlane Neighbourhood House, according to a state MP.
Member for Western Victoria David Koch said he believed the house was caught up in a “great shortfall in funds” related to council grants.
He described the house’s finances as a “grave concern” for Geelong’s council.
Mr Koch said the audit found a discrepancy of up to $5000 related to a single grant of $45,000.
Geelong’s council checked the house’s finances as part of an audit of more than a dozen ratepayer-owned community organisations.
Councillor Andrew Katos, who holds council’s finance portfolio, confirmed an investigation was underway.
However, he said confidentiality rules prohibited him from divulging further information before the completion of the investigation.
“I will have to take further advice of what is actually released publicly and when it is released,” he said.
Mr Katos expected a recommendation from council’s audit advisory committee to be available as soon as next week.
Neighbourhood houses traditionally deliver a range of community programs such as self-help classes and social activities. The houses draw most of their funding from councils and other government grants.
Residents of Geelong’s northern suburbs told the Independent in 2007 that a $900,000 taxpayer-funded upgrade of the Norlane community centre had delivered only empty office space.
The building was housing government offices rather than providing community services, the residents complained.
Staff said in 2007 that the house had cut its computer courses despite an earlier $35,000 grant to upgrade technology facilities.
In comparison, nearby neighbourhood houses at Rosewall and Cloverdale were offering more than 20 courses, including six for computers.