A Northern Territory land council says it is implementing recommendations following an audit of its spending.
The Chief Executive Officer of the Anindilyakwa land council has been accused of funneling millions of dollars in to his own mining ventures.
The Australian National Audit found 24 million dollars in mining royalties managed by the council was invested in Winchelsea Mining which is owned by the council’s current CEO Mark Hewitt.
The audit office says it found the money was funnelled through other organisations including the Groote Holdings Aboriginal Corporation and the Anidilyakwa Advancement Aboriginal Corporation.
The audit also found that 99 per cent of Mr Hewitt’s funding request’s were approved while only 53 per cent of other requests were given the green light.
Calls are rising for the land council’s decisions to be referred to the national corruption watchdog.
Residents on Groote Eylandt have told the AAP the royalties should be spent on more important matters such as health, housing and educational outcomes.
On Friday, Mr Hewitt told senate estimates the audit’s findings were due to rapid growth experienced by the Land Council with employee numbers rising from 20 to over 170.
In a statement to the ABC, Mr Hewitt says ALC is already changing it’s policy to deal with conflicts of interest.
“The ALC has updated the register of interest and implemented a new management plan to manage conflicts of interest,” Mr Hewitt said.
“It’s also very important to note the significance of the Winchelsea Mining proposal to the future financial stability of the Groote Archipelago.”
Federal Minister for Indigenous Affairs Linda Burney says she will be working with ALC to ensure the audits recommendations are implemented.
