Bill English has ruled out an inquiry into the SCF affair. Think about that: the government is forced to spend the annual Police budget in a single morning and it isn’t even interested in learning what could have been done better.
Compare that to the public service’s response to the earthquake, on the other hand, which will doubtlessly be subject to numerous inquires. It’s just good governance to examine how things went in a major event so that they can be done even better next time.
Imperator Fish, whose a lawyer, has a piece on the SCF bailout that says the Crown was legally obliged to pay out New Zealander depositors, would have been obliged to pay out existing depositors even if it had kicked SCF out of the guarantee scheme, and was under no legal obligation to pay out the foreign depositors or the other creditors. It seems to me that means if the government had kicked out SCF earlier and only paid who it had to then tens or hundreds of millions could have been saved. Imperator Fish is largely pro the bail-out yet calls for an inquiry. It’s just good practice.
What good reason could there be for not investigating the SCF bailout? When there’s billions of dollars on the line, it’s irresponsible not to try to learn from experience.
PS. If you haven’t been already, you should check out Brendon Burns‘ accounts from on the ground in Christchurch. Brings a far more human angle than what I’ve seen in the msm.