‘No evidence’ SA Health boss Dr Chris McGowan had conflict of interest with old job
The man in charge of SA Health will keep his high paying job following an investigation into claims he had a conflict of interest.
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The boss of SA Health will keep his $561,000-a-year job after an independent investigation into allegations of conflict of interest involving a former employer.
Premier Steven Marshall says an inquiry has found “no evidence” that Dr Chris McGowan sought to benefit from his previous links with SA Health contractor Silver Chain.
Dr McGowan referred himself to the Public Sector Employment Commissioner Erma Ranieri in November after allegations arose about his relationship with Silver Chain, which he had headed for more than 10 years before taking up his SA Health role in April 2018.
The Opposition obtained documents indicating Dr McGowan continued to appear on company records as director of a dormant Silver Chain subsidiary for two months after taking his government job, a situation Dr McGowan described as “an administrative error.”
Ms Ranieri appointed former Commonwealth Ombudsman Professor John McMillan to run an independent investigation.
Mr McMillan’s report has not been made public, but based on Ms Ranieri’s assessment of his findings, Mr Marshall said Dr McGowan would continue in his role heading up the $6 billion department.
“In this case, there is no evidence whatsoever that Dr McGowan, in his role as chief executive of SA Health, sought to personally benefit from his previous association with the Silver Chain group or to advance the interests of the Silver Chain group in its dealings with the South Australian Government,” he said.
“In fact, the investigator states that SA Health procurement decisions relating to Silver Chain were properly handled by the department and Dr McGowan.”
Silver Chain manages the Royal District Nursing Service.
Mr Marshall said Mr McMillan had found that proper governance arrangements were in place to eliminate conflict of interest.
“The depth of this inquiry and its outcome make it clear that the Government takes very seriously the need for officers at all levels, and chief executives in particular, to avoid any action or behaviour that could give rise to any conflict of interest concerns,” Mr Marshall said.
“However, as Dr McGowan has conceded, his approach to conflict of interest matters could have been better handled and I welcome his acceptance of the need to secure further professional guidance on this matter of fundamental importance to the governance and accountability of our public services.”
Ms Ranieri has recommended Dr McGowan:
ADOPT better record keeping practices;
ENSURE all actual and perceived conflicts of interest are reported in a timely fashion;
EXERCISE careful judgment regarding management and reporting of actual, potential and perceived conflicts of interest.
She also recommended that Mr Marshall direct Dr McGowan to undertake coaching with her on obligations for chief executive officers working in the public sector specifically obligations of senior officers.
Under grilling at a parliamentary committee, Dr McGowan had refused to answer questions 59 times about his links to Silver Chain.
