Rob Mitchell (McEwen, Australian Labor Party) Share this | Link to this | Hansard source

My question is for the Minister for Government Services. I refer to the Minister's previous answers concerning prior lack of probity and procurements in contracts in government services. What have we learned about these previous practices in the portfolio which have been rejected by this government?

Bill Shorten (Maribyrnong, Australian Labor Party, Minister for the National Disability Insurance Scheme) Share this | Link to this | Hansard source

On 24 November last year I first updated the House on the disturbing reports in the Sydney Morning Herald and The Age alleging Mr Stuart Robert used his status as a federal MP to help Canberra lobbying firm Synergy 360 sign up corporate clients with a promise of helping them navigate government bureaucracy and parliament and meet key decision-makers, including coalition ministers. As further details have emerged, I have updated the parliament subsequently.

The initial report detailed how Mr Robert personally intervened in contracts worth $274 million awarded to Indian software giant Infosys. Mr Robert met with Infosys, a Synergy 360 client, in December 2019 at the Gold Coast home of his political fundraiser Mr John Margerison. Leaked emails show that he had given insights on progress of Infosys and future opportunities. Flowing from these disturbing revelations, Services Australia and the NDIS investigated potentially tainted contracts linked to Synergy 360. The review, led by eminent former public servant Dr Ian Watt, found that of the 95 procurements reviewed 19—or one in five—had real deficiencies. Since then, the Joint Committee of Public Accounts and Audit, chaired by the member for Bruce, has heard more disturbing allegations against Synergy 360 and Mr Robert. The JCPAA heard evidence from Mr Margerison explaining how he instructed his accountant to direct Synergy 360 profits derived from Commonwealth contracts to a trust to which Mr Robert was a beneficiary.

Paragraph 44(v) of the Constitution covers disqualification of parliamentarians. It states that anyone who:

has any direct or indirect pecuniary interest in any agreement with the Public Service of the Commonwealth … shall be incapable of being chosen or of sitting as a senator or a member of the House of Representatives.

To be clear, at this point we don't know if that threshold has been breached. What we do know—and I'm sure I speak for most members of the House—this conduct is not business as usual for most members serving in this place. Furthermore, despite these revelations, Mr Robert remained on the frontbench until his sudden resignation immediately prior to the formation of the National Anti-Corruption Commission next month, in turn causing the Fadden by-election, costing millions of dollars and inconveniencing 109,000 Gold Coast electors.

Still, fundamental questions remain. One: was Mr Margerison installed in Synergy 360 to secure Mr Robert's influence in govt procurement? Two: was Mr Margerison installed in Synergy 360 to channel funds through related entities to Mr Robert? And, crucially, three: was Mr Robert a shadow director of Synergy 360?