ML directors warned over handling funds

DIRECTORS of Medicare Locals have been encouraged  to take formal corporate governance training after a division was stripped of federal funding and shut down amid allegations of “inappropriate allocation of commonwealth funds”.

Health minister Nicola Roxon last week confirmed the Department of Health and Ageing stopped funding the Mackay Division of General Practice (MDGP) after a review into its financial affairs, sparked by losses incurred on property transactions and unspecified “business ventures” dating back to 2009.

Ms Roxon told parliament General Practice Queensland had taken over the  funding and management of the division on an interim basis, from 6 May this year.

A month later, Townsville Division of General Practice was awarded the Townsville-Mackay ML contract, which was to begin covering MDGP’s area from 1 July.

A representative of the former MDGP contacted by MO had not