THE chief executive of five Queensland hospitals has been given notice his contract will be terminated as a Crime and Corruption Commission investigation continues into nepotism allegations.
The Metro North Hospital and Health Service board announced on Wednesday Malcolm Stamp would have seven days to respond to the board’s decision to end his contract “without cause”.
In an interview with The Courier-Mail, board chairman Paul Alexander stressed the decision had nothing to do with pre-empting the outcome of the CCC investigation.
He said the board wanted to find a replacement CEO to provide stability to the organisation amid uncertainty as to when the CCC probe would be finalised.
“We understand completely the requirements of the Crime and Corruption Commission to continue its process and the time lines that they have are their time lines,” Dr Alexander said.
“They need to be thorough, they need to undertake due process and there needs to be fairness around that process.
“The board needed to make a decision to ensure certainty of the organisation.”
Metro North Health runs the state’s biggest hospital, the Royal Brisbane and Women’s, as well as the Prince Charles, Caboolture, Redcliffe and Kilcoy hospitals.
Dr Alexander said a worldwide search would be launched for a new CEO.
Former Queensland Health deputy director-general Terry Mehan has been brought in as acting CEO until a successor is appointed.
Mr Stamp was suspended on full pay in September after the board became aware his daughter, Katy, had been employed by a procurement company contracted by Metro North.
There is no suggestion she was unqualified for the position.
The CCC is still investigating claims Healthcare Procurement Partners was offered additional incentives for hiring Mr Stamp’s daughter.
The Courier-Mail understands Mr Stamp is denying all allegations of impropriety.
Metro North has faced leadership turmoil since the board took over control of the health district in mid-2012. About 20 senior executives have left the organisation in that time.
Dr Alexander said the board was formalising a leadership development plan to ensure certainty into the future, offering scholarships for promising clinicians to universities such as Harvard in the US.
Harvard provides courses in public health and medical leadership.
Dispute resolution expert Michael Klug was also brought in last month to act as an independent facilitator to “improve clinical engagement and resolve issues raised by staff”.