State Govt Backs Down On Inquiry Into Homefund
The Sun Herald
Saturday May 15, 1993
THE State Government has backed down and agreed to support the independent Parliamentary committee inquiry into its HomeFund mortgage assistance scheme.
The committee, aided by the Ombudsman and Auditor-General, will also evaluate the AMP Society's proposal to refinance borrowers and cut interest rates by up to 5 per cent.
The Government's HomeFund Commissioner, Justice Rodgers, will soon send out letters to every HomeFund borrower seeking their comments.
About 36,000 low-income earners are locked into paying HomeFund mortgages with fixed interest as high as 15.9pc. The Government cave-in comes two weeks after Premier John Fahey criticised the all-party committee as useless and a"kangaroo court" in comparison to its HomeFund Commissioner.
South Coast Independent John Hatton warned Mr Fahey was on a perilous course if he frustrated the will of the Parliament by obstructing the committee.
© 1993 The Sun Herald