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Halikos received $4m for Berrimah Farm as well as the free land

EXCLUSIVE: HALIKOS Group were given $4 million in taxpayer funds to get the Berrimah Farm development project started — on top of the land they were already awarded free of charge

HALIKOS Group were given $4 million in taxpayer funds to get the Berrimah Farm development project started — on top of the land they were already awarded free of charge. PICTURE: Helen Orr
HALIKOS Group were given $4 million in taxpayer funds to get the Berrimah Farm development project started — on top of the land they were already awarded free of charge. PICTURE: Helen Orr

HALIKOS Group were given $4 million in taxpayer funds to get the Berrimah Farm development project started — on top of the land they were already awarded free of charge — the NT News can reveal.

The major construction company was given the cash and the land despite another local company offering $30 million for the parcel and a pledge to not accept the taxpayer money.

It’s understood the $4 million was offered to assist with the $60 million headworks needed to develop the site and was offered to all tenderers.

The NT News can also reveal the independent probity auditor’s report — which Chief Minister Michael Gunner pointed to as proof the deal was awarded appropriately — did not review the merits of the decision to go with Halikos Group, according to internal documents.

It did, however, state that the probity process as determined by the Government was followed.

“It is not the role of probity officers to provide feedback on the merits of the business decision … or to provide advice on the financial viability of tenders,” stated the report, prepared by Darwin-based Merit Partners.

The auditors were also not present for a number of meetings, but stated they did “review minutes” of those meetings they missed.

The land was awarded to Halikos Group by the previous CLP government through the Department of Lands and Planning last year.

A company spokeswoman said they were awarded the project as part of a “rigorous two-year assessment process”.

“We are making a significant investment in this project, constructing and gifting $60 million of headworks, infrastructure and land set aside for community purposes to the NT,” a statement said.

“The Halikos Group was subject to the same rules and Northern Territory Government requirements and processes as all other proponents.”

According to documents obtained by the NT News, the land was valued at $20 million “as is”, plus another $10 million for two other pieces “as if complete”. It’s estimated once developed, the project could be worth $1 billion.

Mr Gunner defended the gifting of the land to Halikos and said yesterday anyone with concerns about the deal could raise them with the NT Ombudsman, the Auditor-General, the Commissioner for Public Interest Disclosure or the department.

“Based on the advice I have received from the department — including that proper process was followed … this is a good deal for the Territory because it will create 3000 jobs in its lifespan and provide a $1 billion boost to the NT economy once complete,” Mr Gunner said.

Neither Mr Gunner nor the department could explain why costing taxpayers $34 million to go with Halikos over another local firm was such a good deal, other than to say the proper decision process was followed.

The company maintained yesterday that they were not given preferential treatment by the previous government.

“The agreement reached between the Halikos Group and the (NT Government) was subject to extensive arm’s- length negotiations,” the spokeswoman said.

“It is therefore factually incorrect to describe the Berrimah Farm as a sweetheart deal.”

Gunner’s first 100 days, P4

Original URL: https://www.ntnews.com.au/news/northern-territory/halikos-received-4m-for-berrimah-farm-as-well-as-the-free-land/news-story/ea6b3efba860e30636e4580c5d33e5eb