Stephen Parry (President) Share this | Link to this | Hansard source

I propose the question:

That the Senate do now adjourn.

Glenn Sterle (WA, Australian Labor Party) Share this | Link to this | Hansard source

I rise to address reports that a sum of money totalling $1.5 million has been stolen from the Victorian Division of the Liberal Party of Victoria. This story was broken by Melbourne's Herald Sun last night. According to the Herald Sun, forensic accounting firm PPB Advisory was called into Liberal Party headquarters some months ago. It is reported that a number of unauthorised financial transactions took place between 2010 and 2014. According to reports, a forensic examination of a number of computers has revealed that invoices may have been made out to a company which did not exist.

Mr Damien Mantach left the position of Director of the Liberal Party of Victoria on 13 March this year following the state election loss. He joined the Victorian secretariat in 2008 as deputy director, having previously been director of the Tasmanian branch of the Liberal Party from 2005 to 2008, and before then, a staffer for the Liberal Party in this building. At one stage he was a member of the Government Members' Secretariat—the dirt unit operated by the Howard government.

Today it has been reported that Mr Mantach was forced to repay money to the Tasmanian division while he held the office of state director. This has not been a matter of public knowledge until today. What was a matter of public knowledge was his behind-closed-doors dealings with the Exclusive Brethren and associated breaches of electoral laws. It is understood the Tasmanian division is now conducting an investigation into matters related to Mr Mantach's tenure. According to reports, senior Liberal figures were aware of the incident prior to Mr Mantach's appointment to Victoria as deputy director and his subsequent promotion to state director in 2011. Perhaps Liberal senator, Tasmanian powerbroker and now Leader of the Government, Senator Abetz, could shed some light on the party official he worked so closely with during this period.

Reports suggest that senior figures with knowledge of alleged questionable conduct by Mr Mantach in Tasmania include Liberal Party federal director Mr Brian Loughnane. It is understood Mr Loughnane was part of the selection panel that appointed Mr Mantach to the position of Director of the Liberal Party of Victoria. The other panellists were Mr Tony Nutt, the former chief of staff to Prime Minister Howard, current NSW party director, and mooted replacement for Ms Credlin, as well as then Premier Ted Baillieu and his then chief of staff Michael Kapel. In March 2013, Mr Mantach was caught in the middle of the Victorian police command crisis and there were calls for his removal. At a press conference on 8 March 2015, Mr Abbott said this of Mr Mantach:

I know Damien well. He is a person of integrity. Let's see where this investigation goes but he has my confidence.

More recently, the member for Corangamite, the member for La Trobe and the member for Deakin have praised Mr Mantach for his role in getting them elected. The member for Wannon—current chair of the Parliamentary Joint Committee on Intelligence and Security—has also praised Mr Mantach's professionalism. Earlier this year, Mr Loughnane, a man closely connected to Mr Abbott's office, clashed with the Liberal Party's federal treasurer about disclosure and accountability on financial issues. The party's now former federal treasurer Phil Higginson threatened to resign his position over transparency issues and alleged conflicts of interest charges he laid at the feet of Mr Loughnane and Ms Credlin.

There are questions for Mr Loughnane to answer: first, his role in Mr Mantach's appointment; second, his knowledge of his conduct in Tasmania prior to his appointment in Victoria; and third, his knowledge of Mr Mantach's conduct during his Victorian appointment, including where the money went. Did any of it serve the Liberal Party's interests, state or federal? There are also questions for the Prime Minister to answer: first, his knowledge of Mr Mantach's conduct in Tasmania and Victoria; second, the Prime Minister needs to explain the reason he considers him 'a person of integrity'; third, the connection between his office and Mr Mantach; and fourth, the relationship between Mr Mantach and Mr Loughnane. The Prime Minister, Senator Abetz and Mr Loughnane have shown themselves to be poor judges of character, backing a man who stands accused of stealing no less than $1.5 million from the Liberal Party.