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Awema scandal: Lib Dems ask Welsh government why funding was maintained Awema: Welsh government 'will safeguard public money'
(about 9 hours later)
Ministers will be asked to explain why they failed to act sooner on the scandal-hit race relations All Wales Ethnic Minority Association (Awema). The Welsh government will try to protect as much public money as possible in the accounts of a scandal-hit race relations charity.
Liberal Democrats have tabled a debate for Wednesday, demanding that the Welsh government set out in detail why funding was maintained to the charity. It applauded a decision to sack the chief executive and finance director of the All Wales Ethnic Minority Association (Awema).
An administrator is to wind up Awema after funding was halted by the Welsh government over a damning report. But the Conservatives said ministers were "shirking accountability".
Finance Minister Jane Hutt is also expected to make a statement on Awema. The Liberal Democrats want the government to set out in detail why funding was maintained to the charity.
On Friday, chief executive Naz Malik and finance director Saquib Zia were sacked by the charity. On Friday, chief executive Naz Malik and finance director Saquib Zia were dismissed. Awema's chair has been given the authority to appoint administrators to take control of its business and assets.
Lib Dems point out that concerns about the charity were raised in 2002, 2004 and 2007. In a written statement, Finance Minister Jane Hutt said it was "the most appropriate outcome and the decisions taken will help to safeguard the public funding remaining in Awema's accounts".
Civil servants were liaising with South Wales Police, she added.
A police spokesman said information had been provided "for consideration".
An inquiry by the Wales Audit Office is underway.
'Too late'
Conservative assembly leader Andrew RT Davies said: "Another statement, another example of accountability shirked by the Labour government.
"This statement should have been made in the chamber, with questions from all parties to follow.
"Steps to safeguard Awema's remaining public funds are welcome of course. It's a shame they're eight years and £8m too late."
The Lib Dems have tabled a motion to be debated in the Senedd on Wednesday, pointing out there were warnings about Awema in 2002, 2004 and 2007.
Their motion also asks for a protocol to ensure similar concerns are effectively handled in the future.Their motion also asks for a protocol to ensure similar concerns are effectively handled in the future.
Inquiries continue Since concerns were originally raised about financial practices and the management of projects, the organisation went on to secure funding commitments for projects worth more than £8m.
Mrs Hutt, whose duties in the Welsh government also include equalities, is due to make her weekly business statement in the Senedd on Tuesday following questions to First Minister Carwyn Jones. Funding to Awema was terminated earlier this month when a href="http://wales.gov.uk/docs/caecd/publications/120209finalawemareportdated8Feb.pdf" >Welsh government report said there was a "complete lack of oversight of the financial processes and controls".
The Welsh government says it is unable to confirm whether a statement on Awema would be made on Monday, despite expectations of one by opposition sources in the assembly.
Mrs Hutt previously said the government had taken "decisive action" by terminating public funding for Awema in the wake of the latest report.
A statement on the Awema website by its chair Dr Rita Austin said an administrator would also be appointed to take control of Awema's business and assets from the charity trustees, and close the business following the loss of funding.
The Charity Commission has launched a statutory inquiry into Awema, and Public Accounts Committee chair Darren Millar said he felt police needed to step in and examine the situation too.
The report into Awema had said there was a "complete lack of oversight of the financial processes and controls" by Mr Malik.
It said charity funds were used to pay for gym memberships for staff worth £2,120, rugby and cricket tickets totalling £800, and a £110 parking fine for Mr Malik.It said charity funds were used to pay for gym memberships for staff worth £2,120, rugby and cricket tickets totalling £800, and a £110 parking fine for Mr Malik.
It also said there was a "clear conflict of interest" because one of the charity's directors reporting to Mr Malik was his daughter Tegwen. There were "considerable increases" in her salary from £20,469 to £50,052.It also said there was a "clear conflict of interest" because one of the charity's directors reporting to Mr Malik was his daughter Tegwen. There were "considerable increases" in her salary from £20,469 to £50,052.
An earlier report, commissioned by the charity's trustees, had said Mr Malik used funds inappropriately and paid off credit card debts worth £9,340. An earlier report, commissioned by the charity's trustees, said Mr Malik used funds inappropriately and paid off credit card debts worth £9,340.
It also alleged that his salary was increased to £65,719 without approval from the board.It also alleged that his salary was increased to £65,719 without approval from the board.