David Johnston (WA, Liberal Party) Share this | Hansard source

The magistrate found Mr Thomson guilty of stealing HSU funds and obtaining financial advantage by deception when he used the union's credit card to pay for escort services, cigarettes, firewood, travel expenses for his ex-wife and when he withdraw nearly $10,000 in cash from ATMs. On 25 March 2014 Mr Thomson received a sentence of 12 months imprisonment, but with nine months suspended. Mr Thomson launched an appeal and, as I have said, I think that 13 of those charges of theft were sustained upon appeal. Mr Thomson was formally expelled from the Labor Party on 4 April 2014. Bear in mind, these offences were carried out between 2002 and 2007. So more than seven years after the offences were committed, Mr Thomson was expelled from the Labor Party.

I turn to Mr Michael Williamson. On 4 October 2012, former Health Services Union national president and former national president of the Australian Labor Party, Mr Michael Williams was arrested by New South Wales Police and charged with 20 criminal offences. Mr Williamson was charged with a further 30 offences before all 50 charges were combined into four major charges. On 15 October, Mr Williamson pleaded guilty to those four charges including defrauding the Health Services Union of almost $1 million through the creation of false invoices. He was also charged with two new counts over his alleged attempts to hinder police investigations. Not only did he ultimately accept his guilt but also he accepted that he sought to avoid that guilt by hindering police investigations. This was a man who was president of the Australian Labor Party. What a blot on the landscape for that political movement.

A full-day sentence hearing was held on 3 March 2014 in that New South Wales District Court. On 28 March 2014 Judge David Frearson of the New South Wales District Court sentenced Mr Williamson to 7½ imprisonment. He will be eligible for parole after five years. This person, who callously ripped off the workers in the Health Services Union, was the president of the Australian Labor Party.

On 4 April 2014, Mr Williamson was formally expelled from the Labor Party at a meeting of the New South Wales administrative committee. Media reported in October 2013 on a settlement of $5 between Mr Williamson and the New South Wales division. He was charged with $1 million but the settlement to the union was $5 million. Clearly, in a civil sense, the breach was even bigger than the criminal offences. This is an absolute disgrace and clearly the law was inadequate. The assistance that the legislation gave to the investigators was inadequate and we seek to remedy that problem right here and now. On 11 December, The Australian Financial Review reported that:

The NSW division of the Health Services Union is attempting to recover $2.4 million it alleges was overcharged under a secret commission arrangement involving former secretary Michael Williamson , his ex-mistress Cheryl McMillan and a former director of a supplier to the union, Alf Downing.

Proceedings against Mr Williamson did not proceed due to a settlement being reached. However, proceedings against Ms McMillan and Mr Downing are continuing. On 16 October 2013 the members of that union were given the happy news—I say that sarcastically—that Mr Williamson had applied for bankruptcy. The union members received no justice whatsoever in this. Of course, Mr Williamson did not give back the money he had purloined nefariously.

We then saw what happened with respect to Ms Kathy Jackson. It was reported that she had used legal fees totalling several hundred thousand dollars to defend matters which she was unauthorised to defend and the Health Services Union is seeking some $400,00 with respect to unauthorised use of funds.

Those three examples, in my respectful opinion, mean that this legislation is necessary and that this parliament must continue a very active surveillance, as it does with company directors, as it does with people charged with the administration of moneys from membership subscriptions and from shareholders. It is all very similar. The common threats are obvious and people who seek to say this legislation is wrong and not needed are living in a dream world.