The Kimberley Land Council Welcomes Findings of Independent Review into Kimberley Sustainable Development Trust

The Kimberley Land Council has welcomed the findings and recommendations of an independent inquiry and review into Kimberley Sustainable Development Charitable Trust (KSDCT) undertaken by leading barrister Anthony Power.

The trustee of KSDCT is Kimberley Sustainable Development Pty Ltd (KSD Pty Ltd). The extensive review found the KSDCT had discharged its primary roles and obligations remarkably well, and that its trustee acted independently of the KLC and in the best interests of the KSDCT and its beneficiaries, Kimberley Aboriginal people.

Key findings:

• The KSDCT has since its establishment, and on the whole, discharged its primary roles and obligations remarkably well given the passage of time.

• There is no evidence of any wrongdoing by those associated with the KSDCT.

• The passage of time has meant that some of the functions of the KSDCT are no longer as well suited to the purpose for which it was established and that it needs to evolve.

• Recommendations for improvement in the governance and management of the KSDCT and its communication to beneficiaries.

The findings of Mr. Power’s review have been presented to the KLC Board and were reported to KLC members at the KLC AGM in August, with the final report also available on the KLC website today. The review has also been presented to KSD Pty Ltd and other affected parties.

KLC CEO Tyronne Garstone said the review provides important reassurance and clarity about the operations of the KSDCT and its many years of service to Kimberley Aboriginal people.

“Mr. Power’s review shows that the KSDCT has been operating effectively and with integrity for the past two decades,” Mr. Garstone said.

“It highlights the important role and purpose of the trust, as well as the steps it can take to continuously improve."

Conducted over the course of 14 months, the review looked at more than 24,000 documents and included 78 interviews.

“The review has made recommendations for improvement around how the governance and communication of the trust can be further strengthened, which the KLC has welcomed,” Mr. Garstone said.

“An independent feasibility assessment is now underway to assist beneficiaries and the trustee to make informed decisions and move forward with the recommendations.”

The KSDCT was established 20 years ago as a low-cost alternative to commercial for-profit trustees. The primary purpose of the trust is to ensure that the funds under management are preserved and where possible grown, and spent on beneficiaries of the trust rather than operating expenses.

KSDCT is administered by a corporate trustee, KSD Pty Ltd, which is a wholly owned subsidiary of the KLC. The trustee is governed by an independent Board.

Mr. Garstone said he hoped the review would address any misunderstandings about the roles and operations of KSDCT.

“The KLC commissioned this review to ensure Kimberley Aboriginal people can have confidence that the KSDCT has been discharging its purpose and functions effectively and in their best interests,” he said.

“The review has shown KSDCT has discharged its primary roles and obligations very well but like all institutions it needs to keep pace with changing times and circumstances.”

“The KLC remains committed to acting with transparency and integrity as we work towards improving the cultural, social and economic well-being of Kimberley Aboriginal people.”

“Commissioning Mr. Power’s review of the KSDCT is consistent with this commitment as it has provided assurance for Kimberley Aboriginal people that the trust is being properly managed.”

KSDCT Review - Frequently Asked Questions

1.     What is the Kimberley Sustainable Development Charitable Trust (KSDCT)?

KSDCT is a charitable trust that was set up in 2002 for the benefit of Kimberley Aboriginal people. Kimberley Sustainable Development Pty Ltd (KSD) is the corporate trustee of KSDCT. KSD, through its board of directors, is responsible for administering KSDCT and promoting and pursuing KSDCT’s charitable objects.

The Kimberley Land Council (KLC) holds KSD’s only issued share. The KLC’s rights as the sole shareholder of KSD are governed by KSD’s Constitution and the Corporations Act 2001 (Cth). The KLC does not directly manage KSD’s day-to-day business or the administration of KSDCT.

2.     Why was there an inquiry into KSDCT?

In May 2021, the KLC engaged barrister, Anthony Power, through solicitors Forbes Kirby, to undertake an independent inquiry into KSDCT to provide Kimberley Aboriginal people with confidence that KSDCT has been discharging its purpose and functions effectively and in the best interests of Kimberley Aboriginal people. Conducted over the course of 14 months the review looked at more than 24,000 documents and included 78 interviews.

3.     What did the independent Inquiry find?

The Inquiry found that KSDCT has, since its establishment in 2002, “discharged its primary roles and obligations remarkably well given the passage of time”. The Inquiry found that there has not been any mismanagement of KSDCT, there has been no criminal activity and there is no evidence of any wrongdoing by those associated with KSDCT. These findings are outlined in the Report.

The Report finds “KSDCT has served the Aboriginal people of the Kimberley well for a very long time, but like all institutions of its kind it needs to keep pace with changing times and circumstances.”

The Report finds room for improvement in the areas of governance, management and information sharing. These are areas for improvement, rather than criticisms of KSDCT or those who have been involved in its governance and management.

4.     Why have parts of the Report been redacted?

Parts of the Report have been redacted because the Report includes confidential information in relation to beneficiaries (both individuals and groups) and other stakeholders [KLC, KSDCT, KRED etc] that can’t be disclosed publicly. Parts of the Report also contain personal information. 

5.     Will any of the recommendations in the Report be adopted?

The KLC and KSD welcome these recommendations, and after careful consideration the following next steps will be undertaken:

•  An independent feasibility study to understand the cost and resourcing associated with the recommendations.

•  A community engagement and consultation process with affected native title holder groups to discuss the report and its recommendations.