PENRITH Council has launched legal proceedings against the Penrith Business Alliance (PBA) in a bid to determine where public money went.
In June 2015, after an independent review of a Deed of Agreement with the PBA, Council resolved that public funding for the Alliance would cease.
Penrith Mayor Karen McKeown said since then, Council had made numerous unsuccessful requests to the PBA for reconciliation of the funding allocated to the Alliance for the 2014-2015 financial year.
“This is public money. We have an obligation to our community to find out whether this money was used appropriately for economic development activities,” Cr McKeown said.
“A Limited organisation is also required to lodge audited financial statements with ASIC which hasn’t happened, so there needs to be accountability,” Cr McKeown said.
The PBA, which was set up by Council, started operating in 2009 as a Company Limited by Guarantee and provided annual updates to Council about its activities and future program.
Council conducted a review of its economic development functions after a five-year period.
