Cr Paul Funnell, who sits on the Douglas Aerospace Review Committee formed mid-last year, believes councillors have been misled by staff-provided information throughout the process.

It follows a leaked 32-page internal auditor’s report that strongly advised council against loaning the company money before the decision was made in early 2012. 

Douglas Aerospace entered voluntary administration earlier this month and attempts to make public the confidential report have been refused by council.

“I’ve stated publicly that councillors have been misled and I believe this should go to a higher level,” Cr Funnell said. “I am on the record within council, behind closed doors, to have stated … this should go before ICAC.

“With the knowledge I have, which I can’t divulge … we have to let the process flow until the external auditor’s done his work.”

But Mayor Rod Kendall said he wasn’t aware of any councillor who believed the matter should be referred to ICAC.

“If any person forms the view it has been corrupt, then they are compelled to report it to ICAC,” Cr Kendall said. “Nobody has raised that issue with me and if they form a conclusion of corrupt conduct, then are (compelled to report it) … I would encourage them to.”

Cr Julian McLaren said he’d like the matter referred to local government minister, Paul Toole, if council staff didn’t “show some leadership” within four to eight weeks.

“I’d like someone to bring it to his attention, but I’d be very surprised if we wasn’t already aware of it,” he said.