The controversial closure of a possum research unit near Dunedin last year has resulted in an employment payout, and questions about a Government agency's decision-making.
AgResearch closed the three-year-old possum breeding and housing facility in December, with the loss of three jobs.
The state-owned company cited a failure to secure sufficient funding as the reason for the closure of the $1 million facility.
However, an email obtained by the Otago Daily Times between AgResearch and the former Foundation for Research Science and Technology (FRST) reveals the funding agency offered to "cover the shortfall identified by AgResearch".
FRST offered to meet the shortfall after learning the research team would be disestablished, but AgResearch confirmed it would not accept either the initial or subsequent funding offers.
The ODT understands staff were not aware the shortfall funding was offered, and this was the subject of an employment matter last week.
A request for an interview with AgResearch chief executive Dr Tom Richardson, who was in Dunedin on Wednesday, was declined.
A previously agreed phone interview with AgResearch manager of applied biotechnology Dr Jimmy Suttie, who is based at Invermay, did not eventuate.
Eleven questions were emailed to the organisation, which responded with three sentences from AgResearch spokesman Wayne Green.
"The review of the Possum team at Invermay was completed late in 2010. AgResearch has a responsibility to operate as a good employer. AgResearch will not comment on employment matters relating to current or previous staff," the statement said.
Mr Green declined to answer non-employment-related questions, including whether senior AgResearch managers knew both funding offers were declined.
An Official Information Act request to AgResearch was lodged yesterday.
Ministry of Science industry and environment group manager Dr Richard Templer confirmed the former agency offered AgResearch funding of $350,000 per year for three years, and additional funding via telephone.
"The foundation offered AgResearch additional funding to make up a shortfall they had identified."
Dr Templer reiterated a lack of funding from the former foundation "was not an issue" in the closure of the unit.
The scientist who headed the possum research unit and who was made redundant on Christmas Eve, Dr Bernie McLeod, declined to comment about his employment settlement.
Last year, Dr Suttie said the closure was unfortunate, but the research was not consistent with the statement of core intent agreed by all Crown institutions.
"It's not in AgResearch's mandate ... to do this type of research."
Former Invermay director and former AgResearch board member Dr Jock Allison on Wednesday said the decision to close the unit was "absolutely ridiculous", as possum control was essential to agricultural research.
He questioned why the facility was built, only to be closed a few years later.
"It is total lunacy."
"What I find strange is for a struggling company to turn down all this funding."