Cartel of cover-up: documents shredded, conflict of interest not declared

NSW Labor is demanding the Premier and her Ministers end a culture of cover-up, after a parliamentary inquiry heard documents relating to the approval of grants in the $252 million Stronger Communities Fund were shredded and deleted from a senior staffer’s computer.
Gladys Berejiklian’s senior policy advisor Sarah Lau said the Premier marked documents during the approval process, which Ms Lau later destroyed in the shredder and removed from her computer.
95% of the funds were given to Councils in Coalition-held seats.
The Premier’s former Chief of Staff, Sarah Cruickshank also told the inquiry that Gladys Berejiklian did not declare her relationship with Daryl Maguire when she issued $40,000 in six grants to his Wagga Wagga electorate in 2017 and 2018.
Ms Cruikshank said the Premier should have disclosed the relationship because it was a conflict of interest.
The NSW Labor Leader Jodi McKay said: “The Premier has repeatedly refused to disclose a conflict of interest.
“Gladys Berejiklian didn’t disclose her relationship when handing out thousands of dollars in grants from the Premier’s discretionary fund. She didn’t mention it during a $1.5 million Badgery’s Creek deal that would have cleared her partner Daryl Maguire’s debts.
“This is a breach of the Ministerial Code of Conduct. Senior Ministers also have a responsibility to do their duty under the Code. Right now they’re tolerating bad behaviour.
“It’s a cartel of cover-up from a desperate Government protecting an embattled Premier. And it must stop,” Ms McKay said.
“Gladys Berejiklian is undermining the office of the Premier and the integrity of the NSW Government. The Premier should resign.”

iCare secretly hands millions recruitment firm linked to the Liberal Party

Treasurer Dominic Perrottet’s scandal-ridden agency iCare broke its own procurement rules to award at least $6 million of contracts to Korn Ferry, a recruitment firm closely linked to former NSW Liberal Party Minister and Party Treasurer Robert Webster.
Robert Webster was a senior Minister in the Greiner Government. He also served as the NSW Liberal Party’s Finance Director in 2005. Until earlier this year, Korn Ferry listed Mr Webster as its Senior Client Partner & Head of Asia Pacific Board Services.  Public records show that since 2015 Mr Webster has donated $61,345 to the Federal Liberal Party.
Mr Webster was responsible for recruiting the iCare Board Director that replaced NSW Treasury Secretary Michael Pratt’s after his resignation in 2017.
Korn Ferry is currently searching for three new directors to be appointed next year.
NSW Labor’s Shadow Minister for Finance and Small Business, Daniel Mookhey said iCare’s latest scandal was ’shocking:’
“It’s incredible that iCare would break their own rules to put the former Treasurer of the NSW Liberal Party in-charge of board recruitment,” Mr Mookhey said.
“It’s hard to believe Korn Ferry would have won this tender without their close connection to the Liberal Party.
“Worse – The Treasurer is letting a Liberal-aligned company pick iCare’s new directors despite the cloud of suspicion hanging over their own appointment.”
Last month, NSW Labor exposed iCare for handing $18 million without tender to the IVE Group, another major party donor led by a former NSW Liberal Party President.
Public disclosures show that since 2014 the IVE Group has donated $151,004 to the Liberal Party. Mr Mookhey said:
“iCare has been secretly handing contracts to Liberal-aligned businesses like confetti. It stinks.
“No one can have confidence in iCare’s independence when it so entwined with senior Liberal Party figures and donors.”
iCare provides workers compensation insurance to more than 326,000 businesses. It insures 3.6 million employees. The agency’s investment portfolio is worth $38 billion. The Treasurer created iCare in 2015. It has only ever answered to him.
Under Dominic Perrottet’s stewardship:

  • iCare secretly paid a labour hire company $700,00 to hire a former US Republican Operative to work in Dominic Perotett’s personal office.
  • iCare underpaid 52,000 workers up to $80 million.
  • iCare in February tried to prematurely eject 17,500 workers from the workers compensation system to offset the scheme’s growing losses.
  • iCare secretly tried to cut off payments to thousands of injured workers to make up for years of multi-billion losses in the state’s workers compensation scheme.
  • iCare sought to hike employer premiums by 4% and introduce a ‘gap fee’ for injured workers needing to see a doctor.
  • iCare is under investigation for paying $22 million to insurance brokers in breach of the law.
  • iCare’s CEO resigned after it emerged that iCare handed his wife a contract.
  • iCare’s CEO and another top executive took an undisclosed sponsored trip to Las Vegas paid for by a multi-million contractor to the agency.
  • iCare’s top executives took a 36 foreign trips in four years – ten times more than SIRA, their regulator.
  • iCare faced an ICAC referral for handing an $11 million marketing contract to a company secretly owned by a top executive at the agency.
  • Treasury in September 2019 secretly cancelled an external investigation into probity and governance at iCare after the former CEO complained.
  • The State Insurance Regulatory Authority (SIRA) made referrals about iCare to the Independent Commission Against Corruption for further investigation.
  • A damning independent review found that in 46 percent of claims handled, iCare failed to follow the relevant law.
  • iCare organised with the Treasury a secret $4 billion bailout of the workers compensation fund for police, nurses, prison guards and teachers to stop it from collapsing.
  • The Treasurer was warned in May that iCare was set to lose another $850 million before COVID-19 hit the scheme even harder.
  • iCare racked up underwriting losses totalling $4.54 billion in the past three years.
  • iCare’s $3.9 billion surplus effectively disappeared, before COVID-19 affected investment returns.

Despite this record Mr Perrotett told Parliament that iCare did a ‘superb’ job.
Mr Mookhey said:
“The Treasurer has his head-in-the-sand about the going-ons of his $38 billion agency.
“Sick and injured workers and employers have lost confidence in iCare. The Treasurer needs to go.”

Labor calls for serious and systemic destruction of documents to be investigated

NSW Labor has asked the Information and Privacy Commission to investigate the serious and systematic destruction of records that occurred in the Office of the Premier of NSW regarding the controversial Stronger Communities Fund -Tied Grants program.
Over 95 per cent of the $252 million fund was used for political purposes and awarded to projects in Coalition-held seats before the 2019 NSW State election.
A senior policy adviser to the NSW Premier recently gave evidence that she had shredded the only written records showing the Premier’s approval of $141.8 million of grants funding.
The adviser went on to delete all electronic copies describing the illegal destruction of documents as her ‘normal record management practice.’
NSW Labor Leader Jodi McKay said: “This is a monumental cover-up. Gladys Berejiklian used public money for blatantly political purposes and then her staff destroyed evidence to cover-up the Premier’s involvement in this dodgy scheme.
“Under this Premier’s leadership, NSW is heading back to the bad old days. The public sees rort after rort and cover-up after cover-up but Gladys Berejiklian and her Ministers simply refuse to be held to account.”
Shadow Minister for Local Government Greg Warren said: “I have requested that the Information Commissioner investigate this incident and the serious and systemic breaches of record keeping obligations plaguing the Office of the Premier.
“These were public funds to be spent on local communities – not funds to be used for electioneering purposes by the NSW Liberals and Nationals.
“This is a further erosion of public trust and it leads right to the Premier’s door.”

Labor calls for free preschool to drive economic recovery

NSW Labor is urging the Government to make preschool free for a further 18 months to boost workforce participation and kickstart the State’s economic recovery.
NSW Labor Leader Jodi McKay said free preschool should be included as one of the Government’s key stimulus measures in the upcoming State budget: “Families are struggling. Access to free preschool will ease the pressure on household budgets so kids can stay in vital early learning regardless of their parents’ financial position.
“If the Government backs this initiative they’ll have bipartisan support. Economic recovery and jobs are the most important issues facing NSW,” Ms McKay said.
The Shadow Minister for Early Childhood Learning Jodie Harrison said it’s vital the Government ensures no children fall behind as NSW endures one of the worst economic downturns since the Great depression.
“In the long-term, there’s nothing more important than giving every child in NSW access to quality education. That starts before school. In this recession, with lots of families doing it tough financially, we want to make sure no children miss out.”
The benefits of early childhood education are significant and widespread:

  • There are 5,500 early childhood education services in NSW including more than 750 pre-school services, and of the 400,000 children in services. 45,000 are in pre-school (more than 10%)
  • Early childhood education provides a 1:2 Return on Investment (According to analysis undertaken by PwC for the Front Project ) – $2 of benefits flow to the economy for every $1 spent on early childhood education
  • Closing the workforce participation gap could boost GDP by $60 billion over 20 years

Labor slams Perrottet's plan to cut workers' wages for the second time

Labor has slammed the NSW Liberal Government’s decision to cut workers’ wages for a second time, after Treasurer Dominic Perrottet announced today that he would cut the public sector wage cap from 2.5% to 1.5%.
The Treasurer refused to consult with workers and their unions and instead announced a wage cut for workers across NSW on Melbourne Cup Day and on the eve of the US presidential election.
Instead, 400,000 workers across NSW woke up tomedia reports that the NSW Government plans to cut their wages in the midst of the most serious economic crisis since the Great Depression.
NSW Labor Leader Jodi McKay said: “This morning 400,000 workers in every city, region and town in NSW have woken up to this slap in the face from the Treasurer.
“This cut to workers’ wages is an act of economic vandalism and a betrayal of those who protected us during the bushfires and the pandemic.
“Not only is this money that teachers, nurses and cleaners won’t have in their pockets, its money that small businesses and communities across our state won’t have to survive” Ms McKay said.
Shadow Minister for Industrial Relations Adam Searle said: “It is clear this has been Dominic Perrottet’s plan all along and he has snuck it out on Melbourne Cup Day and on the eve of the US presidential election.
“This is an insult to every single worker who kept our society going during the pandemic. The Treasurer is trying to ram through another wage cut for workers across our state which will cause even more damage to businesses and communities all across our state.”
Shadow Treasurer Walt Secord said: “The Treasurer is picking the pockets of workers to pay for his economic mismanagement.
“Dominic Perrottet is responsible for $13.5 billion in Budget blow-outs and a secret $4 billion bail-out out of his scandal-ridden iCare and now he wants workers to pay for it.”

Labor demands Government abandon plans to close schools at Murwillumbah

Labor is demanding the NSW Government abandon its plan to close four schools at Murwillumbah, forcing them into one location, a decision that’s angered the Far North Coast community.
The NSW Labor Leader Jodi McKay today visited Murwillumbah with Lismore MP Janelle Saffin and Richmond MP Justine Elliot. They met concerned staff and parents who said they weren’t consulted.
Under the Government’s plan, Murwillumbah Public School, Murwillumbah East Public School and Wollumbin High School will be forced to close and move into a single campus at Murwillumbah High School.
Department of Education documents reveal the amalgamation of the four schools in 2024 will change the staffing allocation and potentially displace dozens of teaching and support staff.
The closure of Murwillumbah East Public School also means the Government is dumping its election promise to upgrade the site.
Ms McKay said the Government is robbing future generations of quality public education by forcing four schools into one American-style mega-school.
“Labor wants to build schools and create jobs but the Government wants to close them and slash staff. This decision is a betrayal to this community and must be reversed,” Ms McKay said.
“I am here today to let the Murwillumbah community know that Labor is with you, we will fight this.”
Ms Saffin said: “The Murwillumbah community has been blindsided by a cruel cost-cutting decision. Building one mega school will impact on the quality of education, increase travel times and reduce green space. There is also a big question about what it will mean for local jobs.
“The Government must show some respect and halt the project until local parents and teachers are properly engaged. I am also seeking a guarantee that all current staff will be retained.”
Ms Elliot said: “These secret school closures are a shameful act by the Premier Gladys Berejiklian– she is selling out our children and selling out our community.
“North Coast Nationals MPs Geoff Provest and Ben Franklin have been plotting for months to forcibly close four local schools, cram students into one location and sell the other school sites. Our community wants the Government to scrap this proposal.”
The Shadow Minister for Education Prue Car added: “This plan was deliberately hatched in secret with absolutely no community consultation. The Government is breaking an election commitment and closing down beloved local schools against the community’s wishes.”

Labor calls for Royal Commission into mental health and suicide in NSW

NSW Labor is calling for the Government to back a Royal Commission into mental health and suicide in the upcoming State Budget.
“In the past 12 months, the community has faced enormous mental health challenges,” said the NSW Labor Leader Jodi McKay.
“I’m calling for a Royal Commission so we can hear from people with mental health conditions and ensure everyone gets the help and support they need.”
Ms McKay said a Royal Commission should focus on regional and rural NSW and on young people.
“For 10 years the Government has overseen a mental health system that for a range of reasons isn’t meeting the needs of people in crisis,” Ms McKay said.

  • In 2019, nearly 1,000 people died by suicide in NSW
  • Around four in 10 mental health patients wait more than four hours for emergency care, with some waiting as long as 24 hours in the emergency department
  • In Australia, NSW spends the lowest proportion of its budget on community-managed mental health care

“Mental health is a huge problem and families are going through hell across NSW because they’re not getting the support they need,”  Ms McKay said.
“What more can be done from prevention and early intervention right through to the emergency response and acute care? Is there adequate funding and co-ordination between services?”
The Shadow Minister for Mental Health Tara Moriarty said the problem touches every community.
“We must urgently ensure mental health services are accessible for young people and for everyone in regional and rural NSW.”
“We’ll work with service providers and people who’ve experienced mental illness to determine exactly what issues need to be looked at.
“These people deserve a voice and we can learn from them,” Ms Moriarty said.
Ms McKay added this is not about party politics or assigning blame.
“If the Government launches a Royal Commission into mental health it will have bipartisan support. I’ll stand with the Premier to save lives,” Ms McKay said.
If you or anyone you know is suffering from mental health issues, reach out and get support available to you:

  • Mental Health Line – 1800 011 511
  • Beyond Blue – 1300 224 636
  • Lifeline – 13 11 14
  • Mensline – 1300 789 978
  • Kids Helpline – 1800 551 800

New report uncovers growing healthcare crisis in Western Sydney

NSW Labor is demanding the Government immediately address the systemic healthcare crisis in Western Sydney, after a new report revealed patients are receiving a lower level of care than the rest of the city.
The annual Admitted Patient survey from the Bureau of Health Information shows patients in Western Sydney continue to be let down by the Government:

  • Bankstown, Liverpool, Nepean, Westmead and Fairfield hospitals are all rated significantly less favourably than the rest of NSW
  • Barely half of patients in these Western Sydney hospitals reported ‘very good’’ care while in hospital
  • Local Health District level analysis shows Northern Sydney and South Eastern Sydney almost 20 percentage points better than the South Western Sydney and Western Sydney LHDs

The Shadow Minister for Health, Ryan Park, said health outcomes should not be determined by postcodes.
“Healthcare workers and doctors in Western Sydney have gone above and beyond to do the best they can with what they have. But the reality is, there’s a severe lack of funding and shocking staff shortages,” Mr Park said.
“It shouldn’t matter where you live in Sydney or NSW, everyone should receive the same level of healthcare and be able to get the medical attention they need in a timely fashion. This is about equality, fairness and a fundamental right to healthcare.”
The Shadow Minister for Western Sydney, Greg Warren, said the healthcare crisis in Western Sydney has been years in the making.
“The growing population in Western Sydney is putting immense pressure on local health services yet funding and resourcing have failed to keep pace and that’s putting lives at risk,” Mr Warren said.
“Once again, Western Sydney is being left behind. Communities across Western Sydney have consistently been short-changed by the Government. Western Sydney simply wants a fair go.”

NSW Premier referred to ICAC

The NSW Upper House has taken the serious step of referring the sitting Premier of NSW, Gladys Berejiklian, to the Independent Commission Against Corruption (ICAC).
The motion was carried 22 votes to 15.
The Leader of the Opposition in the Legislative Council Adam Searle said the Premier has questions to answer about her integrity and conduct as a public official.
“Labor takes this referral of the Premier to ICAC from the NSW Upper House – our Parliament’s house of review – with the utmost seriousness,” Mr Searle said.
“The office of the Premier is the highest office in NSW and the Premier must be beyond reproach.
“It’s time to shine a light on the questionable conduct that’s been taking place in the corridors of power under the Berejiklian Government.”
The NSW Upper House has referred the following to ICAC for investigation:

  • The repeated failure of the Premier to report any aspect of former Liberal Wagga Wagga MP, Mr Daryl Maguire’s conduct known to her during her “close personal relationship” with him on or at any time after 13 July 2018 (when Mr Maguire gave evidence before the ICAC in relation to Operation Dasha) up until 12 October 2020, the day on which the Premier gave evidence in public to the ICAC in Operation Keppel in breach of her legal duty under section 11 of the ICAC Act
  • Whether the Premier’s “close personal relationship” with Mr Maguire was in fact “an intimate personal relationship” for the purposes of applying the NSW Ministerial Code of Conduct thereby giving rise to serious conflicts of interest prohibited by the NSW Ministerial Code of Conduct
  • Whether the Premier’s “close personal relationship” with Mr Maguire otherwise gave rise to serious conflicts of interest prohibited by the NSW Ministerial Code of Conduct
  • The Premier’s denial that she knew Mr Iwan Sunito, Crown Group Chairman and Group CEO, a major property developer, despite photographic and other evidence to the contrary
  • The transfer of the Greater Sydney Commission from the responsibility of the Minister for Planning to the responsibility of the Premier
  • The role of the Premier in the approval of the Stronger Communities Fund Tied Grants
  • The role of the Premier in the decision to destroy the physical working advice notes which she had written on containing the recommendation and reasons for $141.8 million of the grants
  • The role of the Premier in the decision to attempt to destroy by deleting the Word version of the working advice notes

The motion included additional amendments, including issues to do with Mr Maguire’s disclosures while a parliamentary secretary, matters arising from the Premier’s attendance at a fundraiser in Taree in 2018 and the allocation of money from the Premier’s Discretionary Fund to the Wagga Wagga electorate while Darryl Maguire was an MP, in circumstances where she did not disclose her relationship with Mr Maguire.
Mr Searle said: “There are too many unanswered questions that only the ICAC can answer. The Premier has tried to hide. But the people of NSW deserve better. It’s time for the truth to come out.”
The motion to refer the Premier to the ICAC will  now be considered in the Legislative Assembly.

RESEARCH SHOWS WHY LABOR’S CHILD CARE PLAN IS NEEDED

Research out today by the Chifley Research Centre provides further evidence of why Labor’s cheaper child care plan is urgently needed for families, educators and the sector.
The report states that early childhood education and care (ECEC) should be seen as a key part of Australia’s social and economic infrastructure.
It notes Australian families contribute 37 per cent of ECEC costs, compared to the OECD average of 18 per cent.
The report states that improving affordability so more children are participating and workforce participation is boosted will generate economic and social benefits.
The analysis finds there are significant gaps in the data and transparency, and makes recommendations to improve our understanding of the sector.
In addition the report stresses the importance of quality in early learning, which has always been a central pillar of Labor’s approach to ECEC.
This report highlights the importance of Labor’s plan to task the ACCC to bring more transparency to the sector and examine the relationship between funding, fees, profits, and educators’ salaries.
Labor’s child care plan will also provide immediate relief to families through our Cheap Child Care for Working Families, which will leave 97 per cent of families using childcare better off.
Labor will also task the Productivity Commission to conduct a comprehensive review of the sector, with the aim to implement a universal 90 per cent subsidy for all families.
There are a chorus of calls from experts across the country to invest in our early education and care system.
Labor, families, business leaders, economists and the sector know affordable, high quality child care is vital to ensure children receive an early education, parents can work when they want, and educators are employed.
The Morrison Government are the only ones who don’t get it.