CATEGORY C funding for Clarence canegrowers appears to be bogged down either in bureaucratic no-man's land or on NSW Minister for Emergency Services, Michael Gallacher's desk.
A spokeswoman from the Federal Attorney General's office said the letter required to approve the funding, which had to be signed by Mr Gallacher, had not arrived.
She also said Deputy Premier Andrew Stoner's statement the letter had been sent was false.
"In short, the Federal Government has activated all the money it is able to release under the rules," the spokeswoman said yesterday.
"NSW needs to request Category C."
Mr Gallacher was contacted for comment but failed to reply by time of print.
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