MTM All The Way?

Just as we thought everything's going to be fine and good, suddenly a shocking news hit us! The new Chief Executive of MTM, is actually a not-so-good leader!!

THE chief executive of Melbourne's new train operator also headed a British rail company that went into administration at a huge cost to taxpayers.

Andrew Lezala, whose Metro Trains Melbourne will soon operate the city's trains, was chief executive of the British rail maintenance company Metronet from May 2005 until it went into administration in July 2007.

It collapsed with £1.7 billion ($A3.5 billion) in debt, forcing the British Government to bail it out.

A damning report on Metronet's failure, released just three weeks ago by Britain's National Audit Office, found the company's management had wasted millions of pounds of public money.

"The main cause of Metronet's failure was its poor corporate governance and leadership," the report said. "We estimate that the overall direct loss to the taxpayer arising from Metronet's administration is between £170 million and £410 million, in 2007 prices."

The report was highly critical of the "inefficient" spending practices of the company.

Sounds very unpromising to start for MTM. However, an explanation was given as below:

However, Metro Trains Melbourne spokeswoman Leah Hayward later issued a statement saying that Mr Lezala had been the third chief executive at Metronet in two years and had worked hard to restore the business.

"Within two months … Andrew uncovered structural and internal business issues," Ms Hayward said.

She said Metronet had "been placed into voluntary administration, instigated by Andrew as it was in the best interests of the business and the people".

Now, whom do you trust? Some people would say leave it to the professionals or "the consultants" we normally called it. Guess what?

Victorian taxpayers paid $25 million to consultants to assess the tenders of the five companies that bid to run Melbourne's trains and trams.

$25million and all we got is a CE with a lousy background? You can pay me $2500 and I'll choose MTR and a better director any day!!

I smell something fishy going on here. Corruptions? Favoritism? Why can't a Hongkie run MTM?

The Government needs to be more accountable to the people! It's our tax money you're spending there, chap!