The Registrar of Aboriginal Corporations has appointed an administrator, Brian McMaster of KordaMentha, to Wirrimanu Aboriginal Corporation, replacing Ian Swan of Hall Chadwick.
Wirrimanu is located in the remote community of Balgo, in the East Kimberley. It is funded to operate a large CDEP; provide a wide range of municipal services to the community; maintain housing; and run sports and recreational activities.
Wirrimanu has been under administration since 2003 for failing to comply with the Aboriginal Councils and Associations Act 1976 (the ACA Act). Due to the length of the administration and varying stages of its progress there have been a number of administrators appointed to that corporation since 2003.
Since then, substantial progress has been made. The situation of the corporation has been stabilised, including delivery of CDEP programs, municipal services and a secure power service; and there has been considerable community consultation over the period of the administration.
As part of the ‘exit strategy’ to transfer control from the administrator back to the corporation in 2008, the Office of the Registrar of Aboriginal Corporations is running a series of corporate governance training for residents. Community members have already participated in corporate governance training held in Mirrilingki in May 2006, along with people from Mulan, Bililuna and Ringer Soak.
The exit strategy also involves supporting a re-design of rules for the corporation and its subsidiary shop as well as the development of a better governance structure for the corporation to meet its future role and requirements under the new Corporations (Aboriginal and Torres Strait Islander) Act 2006 (CATSI Act).
The Aboriginal Councils and Associations Act 1976 (ACA Act)—soon to be replaced by the Corporations (Aboriginal and Torres Strait Islander) Act 2006 (CATSI Act)—establishes the Registrar of Aboriginal Corporations as an independent statutory office holder.
The ACA Act is a regime under which Indigenous organisations can incorporate. It allows some scope for flexible incorporation in line with cultural practices. It also provides for active monitoring and regulation of Indigenous corporations, some of which pose special risks and have special requirements.
In general, administrators are appointed to achieve turnaround for a corporation experiencing difficulties.
The new CATSI Act, to begin on 1 July 2007, is more closely aligned with mainstream corporate governance practice, and allows groups to design their corporations taking account of their particular cultural circumstances.
Janet Millar 0427 259 789
23 February 2007
ORAC MR0607-06
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