Act a vern edifying tall but...
the fact remains that the Cook Islands Philatelic Brean is making big enough profits to make this sort of wheeler- dealing possible, DECIMUS
The Curious Case of the Cook Isleds Collectors
1
"As with all Government activities, the utmost care is taken to prevent any dishonest dealings or the obtaining of stumps without authority, and since public monies are involved the fullest audit is at all times taken any collectors interested in Cook Islands stamps can at all times fully and completely rely upon the integrity of the Cook Islands Government.' -Sir Albert Henry.
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“It reminds me, my dear Watson,” said Holmes, “of that story you wanted to call ‘Taken for a ride with Sir Albert”.
WHAT happened to the money from the Cook Islands
Philatelic Bureau? That is one of the questions raised at judicial hearings in New Zealand and Rarotonga into events connected with the recent Cook Islands elections.
The story goes back to a previous election, when Cook Islands opposition party members flew in some of their supporters from New Zealand to register their votes. Through a loophole in their Constitution, the Cook Islands makes no provision for absentee voters, of whom there are many hundreds of thousands now working and living in New Zealand. The only way they can vote (and since many still own land in the Islands, they have a stake in the elections), is to go back at election time. At that previous election, the ruling Cook Islands Party responded by flying in a party of voters themselves. As far as is known, on that occasion the voters of both parties paid their own way.
This year, however, when the opposition Democratic Party arranged a plane-load of fare-paying supporters at $245 a head, the Premier, Sir Albert Henry, decided to end what he called a farce by chartering Ansett Airlines to fly in six planeloads of his supporters. He again won the elections, but by a smaller majority.
Then, the allegations started flying. Political pundits were heard to claim that without the six plane-loads of supporters, Sir Albert's party would have lost. There were questions about where the money for the flights came from, because, it turned out, the Henry supporters had not paid anything like the full fare. In fact, it was no more than about $20 "for refreshments", according to one source. The name of Finbar Kenny, who runs the Cook Islands Philatelic Bureau under contract with the Cook Islands Government, began to be mentioned. Reporters found themselves unable to locate or talk to the man, who was incorrectly referred to as a pro- minent "philatelist" and was called by one New Zealand paper "a shadowy international entrepreneur and stamp
dealer". Mr. Kenny has other investments in the Islands and, it was inferred, might feel there were advantages in not having a change of Government.
Opposition party supporters took out 15 charges of bribery and corruption against Sir Albert, arguing that the subsidised flights to vote in the 30th March election were limited to Henry supporters, that the fares were totally unrealistic, that they were instructed for whom to vote, and that the money for the charter had been misappropriated from the Cook Islands Philatelic Bureau.
Evidence was produced that on 17th March, Sir Albert wrote to the Bureau requesting $327,000 in external funds to be made out to the Cook Islands New Projects Company Ltd., to help "in the financing of a major project for the STAMP COLLECTING, 17th August, 1978
so it can hardly be called a
~failure
from the view of
Cook Islands" as an advance against the 1978 philatelist of
revenue.
Coul
The Manager of the Cook Islands Development Company which operates the Bureau with the Cook Islands Govern- Islands
ment, said the money would be debited against that due in the forthcoming year. He also said that money had been advanced in previous years and on each occasion had been repaid at the end of the financial year in question. Now the pace steps up.
$337,000 was drawn from the Bureau's external account and paid into an account opened only seven days previously, that of the Cook Islands New Government Projects Company Ltd. The same day, Sir Albert Heny opened a new account in his own name and immediately paid in $335,000. On that memorable and fast-moving day, Sir Albert paid $335,000 into another newly opened account, Ipukarea Development Company.
To complete the daisy-chain, Ipukarea immediately wrote a $335,000 cheque for Ansett Airlines. The day's operations would have done credit to any Committee to Re-elect the President. Sir Albert has not denied this in court. His defence is simply that the money from the Bureau was, in fact, a personal loan from Mr. Kenny, but was funnelled through the Bureau to avoid the heavy penalties imposed on American citizens who are found to have given money to assist political campaigns overseas. Mr. Kenny, for his part, is reported to have issued a flat denial and a demand for an unreserved apology from the Prime Minister; otherwise Kenny will issue a multi-million dollar libel suit. Sir Albert says an Australian citizen has now offered him the money to pay back the Bureau and he himself will in turn refund his new benefactor as and when he can.
The Judge has now reserved his decision. Should the case go against the Premier, there is a strong possibility that the elections could be declared invalid. Whatever the result, it is clear that things can never be quite the same between Sir Albert and Finbar Kenny, and Mr. Kenny's threat to pull out could come to pass. If the opposition comes to power, he may be obliged to pull out, although it may be too much of a golden goose for this to come to pass.
“Have you heard about the rare Cook Islands stamp? It's got no flaw on it.”—Cook Islands story, vintage 1966,
WH
WHEN the Cook Islands Government took over the issuing of stamps from the New Zealand authorities in 1965, the Prime Minister, Albert Henry-now Sir Albert -announced the introduction of an old-age pension of $1 a week, to be financed principally by the sale of stamps to philatelists. He went on to say:(1)
"Too many issues could be regarded as unethical. At this stage, our aim should be to gain a world-wide philatelic reputation, with the object of gaining a very rewarding source of income for years to come.” Brave words!
The Prime Minister estimated the continued promotion of Cook Islands stamps by the New Zealand Government would bring in an annual income of $40,000; if they were handled by De La Rue and Company of London, the (Continued on page 2501)
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Govt.