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With a state election looming, a crisis has left Victoria’s opposition with no choice but to regroup

Just months out of a state election, Victoria’s alternative government has been thrown into disarray by a leaked email, a “disastrous” interview and a slow-moving fallout.

Details of a proposed arrangement between a wealthy Liberal Party donor and the Opposition Leader’s chief of staff came to light at the beginning of last week.

Matthew Guy fronted the media within hours and announced his chief of staff had resigned, and seemed determined to put the issue to bed.

However, in the days since, the series of events stemming from that initial revelation have only gathered momentum.

A Liberal MP, who did not want to be named, recently told the ABC that Mr Guy’s position as leader was precarious and another scandal would be fatal, but said that, in the absence of an alternative, he may hang on until the election.

At the start of May, when Mr Guy pledged extra funding for Victoria’s watchdogs, the Independent Broad-based Anti-corruption Commission (IBAC) and the Victorian Ombudsman, he said his party was “focused on rebuilding our system of integrity and honesty in government “.

The government’s integrity came under fire last month, with the release of the results of an IBAC investigation detailing “extensive misconduct” by Labor MPs, as well as an ombudsman’s report rehashing the “red shirts” scandal.

The Opposition Leader has been eager to turn voters’ minds to integrity and trust in government, but struggled to formulate a response as his own office was subject to scrutiny.

So, how did the opposition get to this point just over three months out from a state election?

The proposed arrangement

On August 2The Age published revelations about Mr Guy’s chief of staff, Mitch Catlin, approaching billionaire party donor Jonathan Munz for payments totaling more than $100,000 to his private marketing business, Catchy Media.

a man in a suit smiles at the camera.
Mitch Catlin resigned as Matthew Guy’s chief of staff.(Supplied: LinkedIn)

Mr Catlin said no contract was signed, and Mr Guy fronted the media and asserted more than once that the arrangement, brought to light by a leaked email, had only ever been a proposal.

“We’re acting on a perception — this wasn’t even put in place,” he said.

That day, the Andrews government announced it would refer the matter to the state’s integrity agencies, IBAC and the ombudsman, Victoria Police, the Australian Federal Police and the Victorian Electoral Commission (VEC).

It also published a list of 14 questions directed at Mr Guy about Mr Catlin’s proposed arrangement.

The interview

Almost a week after the initial reports, Mr Guy appointed his childhood friend, Nick McGowan, as his new chief of staff on August 8.

Mr McGowan has also been preselected as a Liberal candidate for an upper house seat in the Eastern Metropolitan Region, but Mr Guy stated his new chief of staff wouldn’t be campaigning for the seat during working hours.

The Opposition Leader and Mr McGowan have a close personal and professional relationship, with Mr McGowan best man at Mr Guy’s wedding, and his chief of staff while he was planning minister in the Baillieu-Napthine government.

Mr McGowan will also be forced to take leave by November 10 when the VEC deadline for candidate nominations closes, meaning Mr Guy will also need to find a replacement for his top aid for the final two weeks before the election.

Nick McGowan, in a blue hoodie reading 'Nick McGowan Eltham' next to a smiling Matthew Guy in a suit, both reaching out hands.
Nick McGowan, Matthew Guy’s new chief of staff, is also an upper house candidate for the state election.(AAP: James Ross)

The appointment caused some frustration inside the party, with one Liberal MP, who did not want to be named, labeling the move a “shocker” and “a job for a mate”.

They said it sent a “poor message” to the party’s other candidates that they did not need to bother campaigning until they lodged their nomination.

On that same day, Mr Guy was criticized for his performance during a 12-minute radio interview on 3AW where he repeatedly refused to answer questions about when he first found out that Mr Catlin had approached Mr Munz about the proposed arrangement.

Rather than starting a fresh week on the front foot, Monday’s events put Mr Guy right back to square one, and the interview drew harsh responses from listeners.

One man who identified himself as a “rusted-on Liberal voter” said Mr Guy had “lost the election” by being evasive.

Another caller described the interview as “disastrous.”

The departures

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Australia

NSW Trade Minister Stuart Ayres reflects on involvement in John Barilaro’s recruitment to lucrative New York role

NSW Trade Minister Stuart Ayres has conceded that he should have advised former deputy premier John Barilaro not to apply for an overseas trade role.

Mr Ayres has told Nine Radio that Mr Barilaro’s application for Trade Commissioner to the Americas came too soon after he left parliament, and that he should have advised him not to apply for the role.

“If I had my time again, I would have said to him: ‘The time frame between the end of your parliamentary career and you applying for this job will be too politically sensitive and you should not consider doing the role’,” Mr Ayres said.

He accepted his job was on the line and he would be unable to continue as trade minister if the review found he acted improperly.

“I am confident that all of my actions have been in the best interests of the public and I think that’s what that review will show,” Mr Ayres said.

“If the [Graham] Head review shows that I have not done the right thing, then I don’t think my position would be tenable, but I don’t believe that’s the case.”

Mr Ayres has confirmed he texted a copy of the job advertisement to Mr Barilaro when it was first advertised after Mr Barilaro expressed an interest in the role.

But Mr Ayres has denied he had any role in Mr Barilaro’s subsequent appointment to the role.

“Of course, I undertake my own reflections on my course of action, but everything I’ve done as a minister has been about making sure we deliver the best outcomes for the people of New South Wales,” Mr Ayres said.

“I’ve always acted in the interests of the public.

“I’ve always undertaken my ministerial duties with the highest level of integrity and I’ve always wanted to make decisions in the best interests of the public.”

Mr Barilaro was announced as the successful candidate in June.

The position is based in New York and comes with a $500,000 salary package.

Mr Barilaro later withdrew from the position, saying it had become untenable.

Mr Ayres said Premier Dominic Perrottet had not asked him to stand aside over the matter but admitted it had been a “challenging” few weeks.

“[Mr Perrottet] has been really supportive through this whole exercise,” Mr Ayres said.

“He’s made it pretty clear that he’s put in place the independent review that’s been conducted by Graham Head, a former public service commissioner, and he wants to wait until that review’s completed and he’ll make his decisions after that.”

Deputy Premier and Nationals leader Paul Toole refused to comment directly on whether he supported Mr Ayres but said public confidence in ministers was critical.

“As the leader of the National Party and as the Deputy Premier I have very high standards and I have very clear expectations of my ministers,” he said.

“I expect them to be acting with honesty and integrity at all times.”

Leaked emails last week revealed Mr Ayres put forward a name to be added to a shortlist of candidates for the role, but he maintains that name was not John Barilaro’s.

Documents released yesterday revealed another candidate was recommended ahead of Mr Barilaro before he was later ranked higher.

Mr Perrottet said he was expecting the independent review into Mr Barilaro’s appointment “very shortly”.

Mr Perrottet initiated the review in late June and it has been conducted alongside a parliamentary inquiry.

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Categories
Australia

Victorian government under pressure from Greens, opposition to speed up integrity reforms

The Victorian government is under pressure to speed up promised integrity reforms, following a scathing report detailing “extensive” misconduct by its MPs.

The Operation Watts investigation — a joint probe between the state’s ombudsman and the Independent Broad-based Anti-corruption Commission (IBAC) — a covered rampant nepotism and the widespread misuse of public resources within the Victorian Labor party.

The Victorian Greens will introduce an anti-corruption bill when parliament summarizes this week to strengthen IBAC’s powers and establish a Parliamentary Integrity Commissioner within the next few months — almost two years sooner than the timeline indicated by the government.

The Labor Party has promised to implement all 21 of the report’s recommendations, which includes advice to establish a Parliamentary Ethics Committee and an Integrity Commissioner by June 2024.

But Brunswick MP and Greens integrity spokesperson Tim Read said the government should act immediately on the reforms.

A man in spectacles stands in front of a red brick wall.
Tim Read says integrity issues have been present in Victorian parliament for years.(Facebook: Tim Read Greens)

“There’s no reason why the government couldn’t make a good start on it this year and have an integrity commissioner appointed early next year,” Dr Read told the ABC.

“There’s a lot of precedent to this — it’s not as if there’s a hell of a lot of thought that needs to go into it.”

Catherine Williams from the Center for Public Integrity said the government must start implementing some reforms before November’s state election if it was determined to crack down on corruption.

“It’s very easy for governments to make promises to introduce change, however, we know from past experience what we need to see are steps being taken,” Dr Williams said.

“A commitment is one thing, what we really require is action.”

The Liberal opposition has also backed the push to speed up reforms, with Matthew Guy saying he would be “more than happy to look into it” when parliament returns.

Daniel Andrews speaks to media during a press conference at Ambulance Victoria Training Centre.
Daniel Andrews has committed to implementing the recommendations from the report.

Premier Daniel Andrews said on Friday the government would be “faithful” to the timeline provided by the integrity agencies.

“Some of it will be able to be achieved quickly, other elements of those recommendations in that reform will take a bit longer, but we’re committed to all of them,” Mr Andrews said.

“If we can better it, if we can do it even faster, then of course we will.”

Reports reveal misconduct likely to be repeated

Last week, a fresh report from the Victorian Ombudsman into Labor’s red shirts affair warned that until corruption was addressed with the “necessary rigour”, the scandals were “unlikely to be the last”.

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