Polynesia in Review: Issues and Events, 1 July 1997 to 30 June 1998 Reviews of American Sâmoa, Hawai‘i, gain. Opposition members also Sâmoa, Tuvalu, and Wallis and Futuna incurred the public’s wrath for being are not included in this issue. weak and contributing to the country’s problems. The sense of dissatisfaction Cook Islands with politicians in general was In this review I focus mainly on the increased when New Zealand inter- twenty-five members of Parliament, vened in an effort to steer the Cook because public debates on national Islands back onto the road to eco- political issues revolve around their nomic recovery. The arrival of New decisions. The current economic crisis Zealand consultants, in what some has increased public awareness of their saw as nothing less than a process of actions and subjected them to more recolonization, led to a perception that criticisms for their perceived failings. Maori Cook Islanders did not have the Less than a year before the next ability to handle their own political general election, these are frightening affairs. Newspapers and television days to be a member of Parliament. have played an important role in Cook Islanders have not forgotten the disseminating information and opinion pain of measures implemented by the about the crisis, and the public have government to revive their country’s made their views known on a very economy, which by 1996 was on popular talk-back radio show and in the brink of bankruptcy. Alarmed letters to the editor. creditors threatened to halt future Cook Islands Party (cip) politicians transactions with the Cook Islands, have been at the front line and bearing which was unable to service its the full wrath of public censure. They international debts. Even aid donors have governed the country since 1989, refused to give cash directly to the when they won their first five-year government. To cut costs, the govern- term of government. From about late ment reorganized the public service, 1995, a year after the last general elec- laid off more than two thousand pub- tions, cip leader and Prime Minister lic servants, and reduced the salaries Sir Geoffrey Henry has been preoccu- of those remaining by fifty percent. pied with defending his political integ- Government assets were sold to private rity and that of his fellow caucus and interests. Streams of people flowed out cabinet colleagues. of the country to New Zealand and In July 1997, plans by the govern- Australia, taking with them their ment to ax close to eighty workers in much-needed consumer dollars. the Ministry of Works, Environment The government was severely criti- and Physical Planning (mowepp) cized for these events, accused of brought to the fore a growing disagree- incompetence, extravagant spending, ment between the prime minister and and manipulating the system for self- mowepp Minister Tom Masters. 206 political reviews • polynesia 207 Masters is the Cook Islands Party’s Committee and Audit (perca) was national secretary and is seen by many compelled to investigate the deal. as a likely successor to Henry as prime The Twenty-Eighth South Pacific minister. Despite being powerful in the Forum was held in Rarotonga in party rank and file, his part in an September 1997, and sixteen regional aborted coup to remove Sir Henry leaders attended the week-long meet- several years ago made him look weak ing. The government was criticized for to some people as well as leaving him hosting the meeting while the country at odds with Sir Henry. was going through financial difficul- At the end of 1997, and after the ties. But worse was to come, particu- cabinet temporarily suspended larly for Prime Minister Sir Geoffrey mowepp operations, Masters resigned Henry, who was upstaged by the his ministerial post but vowed to stay Tahitian pro-independence leader in the Cook Islands Party. He blamed Oscar Temaru and other members of Henry for failing to keep a promise of his Te Hui Ra‘atira political party. providing additional funds to his Temaru grabbed media attention with ministry, which is one of the biggest in emotional pleas to Henry as forum the Cook Islands. The government chairman to put the independence countered by saying that Masters and issue on the agenda. Henry refused to his chief executive officer, Tuingariki table the issue and did not grant an Short, had mismanaged and overspent audience to Temaru. He came under their budget. Short was suspended on severe criticism from those who felt he full pay, and an investigation into his had succumbed to pressure from role in the demise of the ministry was French Polynesia President Gaston conducted by the Public Service Flosse, who had donated a number of Commission. vehicles to the Cook Islands to help it Short had also deployed staff to run the forum. renovate the beleaguered Rarotongan On 16 October, the then leader of Hotel, a government asset, mortgaged the opposition, Norman George, laid a to the Nauruan government, that had complaint of theft to police against failed to generate profit. After the Prime Minister Henry regarding one of mowepp renovations, which cost nz$2 three cars donated by the Chinese million, ownership of the hotel passed government for use during the forum. to Cook Islands business entrepreneur The car had been registered under the Tata Crocombe for a sale price of name of the prime minister instead of nz$3.5 million, to be paid in incre- the Cook Islands Government. Police ments over an extended period. The investigated the matter, could not deal was settled despite a cash offer of find any charges to lay, and sought nz$5 million by a foreign buyer. the opinion of the Crown Law Office. Critics, particularly within the The solicitor-general, head of Crown Chamber of Commerce, charged that Law, sought the opinion of a queen’s the deal ran against government efforts counsel in Auckland. The counsel to boost its cash balance. In the end, reasoned that the prime minister had the Public Expenditure Review been careless, but there was insuffi- 208 the contemporary pacific • spring 1999 cient evidence for a charge of theft to nz$65,000 per annum], not as a salary be laid. or allowances subject to paye taxation In mid-1998, Sir Geoffrey finally deductions, but as advances against a confirmed that he had bought the loan account that he created in the $27,000 car for his own use and paid books of the Corporation” (Parliament off the remaining balance of 1998, 8). Pierre’s alleged shortcomings nz$15,000. Henry’s chief executive had already been brought to the atten- officer also dispensed about $20,000 tion of the government, but it chose to of public funds to replace the prime do nothing. Instead it shifted him minister’s official car. This brought an through various departments, includ- angry response from members of the ing that of the prime minister. Critics public who felt that this was an unnec- said that the bottom line with Pierre essary purchase amid efforts to cut was that he was a loyal party sup- down government expenditure. porter, and the government was pro- The car matter was something of a tecting him. rerun of the problems of Cabinet In the face of constant criticism in Minister Tepure Tapaitau, a lawyer 1998 the prime minister reshuffled his and the country’s attorney. In cabinet, already reduced by the resig- September 1997 he was cleared of nation of Minister Masters, even giv- theft charges after Norman George ing away his prized finance portfolio. accused him of appropriating govern- However, relinquishing major respon- ment materials to build a house in sibilities was perhaps a strategic move Tongareva (Penrhyn), his consti- by Sir Geoffrey to consolidate his tuency. As with the Henry situation, stranglehold on the cip leadership and the Tapaitau matter generated lots of indeed on Cook Islands politics. bitter personal exchanges in the In the 1997–98 budget, the Prime media. Minister’s Office received nz$1.53 In early 1998, the prime minister million compared to nz$1.43 million insisted on 10 percent savings across in the last budget. The extra the board for all twenty-four govern- nz$110,000 was to fund additional ment ministries and departments. tasks assumed by the office, such as the However, financial matters continued duties of the commissioner of Com- to haunt him when a Treasury audit merce and Banking Services and the showed that a total of nz$2.5 million Offshore Banking Output. The pre- of housing loan repayments were not sumption is that the Prime Minister’s accounted for. Head of the Cook Office is being set up as the govern- Islands Housing Corporation Nga ment’s central operational arm, both to Pierre, a staunch cip supporter, was insist on the implementation of the slammed by official reports released in government’s economic vision and to mid-1998. The perca probe into the defend its track record. way the corporation was run revealed Early in 1998, editor of the weekly poor bookkeeping practices and Cook Islands Press Jason Brown was alleged that Pierre “instituted a system banned by the prime minister from his of paying himself [a salary of press conferences for being biased political reviews • polynesia 209 against Henry in his reports. Further- preferred prime minister, although the more, toward the end of May, Sir dap opposition leader Dr Terepai Geoffrey refused to contribute his Maoate has gained ground. There is no regular column in the paper until doubt that Sir Geoffrey is the most Brown replaced a photo at the top of charismatic politician in the Cook the column space that depicted the Islands, with superb oratory skills.