The Honourable Danny Williams, Premier of Newfoundland and Labrador, announced today that effective immediately MHA for Lake Melville John Hickey, will step aside from his duties as Minister of Transportation and Works and Minister Responsible for Labrador Affairs, pending further information on a review currently being done by the Auditor General (AG) into constituency allowances. The Honourable Trevor Taylor will serve as acting minister.

"I want to make it very clear that Mr. Hickey has not been found to have overspent his constituency allowance, as is the case with previous findings by the AG," said Premier Williams. "The Auditor General himself made it clear in his comments prior to Christmas that he had completed his investigation into overspending by MHAs. The situation with Mr. Hickey is very different, however, given the AG�s findings I felt it was imperative that I act quickly and decisively in order to ensure the public that we take the AG findings very seriously."

The Auditor General has found instances whereby there were duplicate claims made by Mr. Hickey�s constituency account. The Premier directed further inquiries on specific details to the Auditor General. He also pointed out that the amounts of money in question are not substantial in comparison to the overspending issues identified earlier by the AG. Mr. Hickey�s totals are $3,770 over about a two and a half year period.

"It is a most unfortunate circumstance, and I cannot begin to tell you how disheartening this situation is, especially when we are dealing with the reputation of an individual that has given several years of service to the his community and this province" added the Premier. "However, our government � and I personally � made a commitment to the people of this province that we would make the House of Assembly more open, accountable and transparent. While our government takes the issue very seriously, I would also point out that we cannot rush to judgment on what may ultimately amount to a simple issue of poor accounting practices."

The Premier added that he will welcome Mr. Hickey back into the Cabinet pending the final report of the Auditor General.

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Media contact:
Elizabeth Matthews
Director of Communications
Office of the Premier
709-729-3960, 351-1227
elizabethmatthews@gov.nl.ca