DAMNING OMBUDSMAN REPORT EXPOSES LABOR’S WATER CORRUPTION
25-November-2011
A damning Ombudsman report has shown the previous State Labor Government was engaged in sneaky deals that have lined the pockets of their ex-Labor colleagues.
The Ombudsman report found Sustainable Soils and Farms (a company led and backed by former federal Labor MPs Neil O’Keefe, Gavan O’Connor & Bob Sercombe) was paid more than $1 million in public money to help the company purchase properties in Northern Victoria. The company then proceeded to purchase 2,600 megalitres of water shares from elsewhere and placed those water shares on the properties before selling them back to the Government for a net profit of more than $500,000.
Sophie Mirabella MP, Federal Member for Indi says the Ombudsman report shows that Labor simply cannot be trusted with water policy.
“This was supposed to be a plan to improve irrigation efficiency and find water savings, but instead it was used by the Labor Party to line the pockets of their mates,” said Mrs Mirabella.
“The report is a damning indictment on the Labor Party and really highlights the extraordinary corruption that was occurring at the most senior levels of the Government. It’s obvious that all members of the Brumby Government Cabinet were aware of these dogey deals and I think they have a lot of questions to answer, that includes the likes of Tim Holding and Daniel Andrews.”
The report shows that the company was provided with confidential information to assist it to “tailor its business proposal for presentation to the DSE and NVIRP”. The report also found that NVIRP (Northern Victorian Irrigation Renewal Project – the Statutory Body set up to roll out the Government’s irrigation upgrades) provided more than $1 million worth of incentive payments to Sustainable Soils and Farms, outside of their own guidelines.
“This is the height of Government interference and corruption. It’s an absolute disgrace.” Mrs Mirabella continued.
“They gave inside information to their mates in order to gain financial advantage and they used taxpayer’s money to make their mates rich.
“The Labor Party new they were doing the wrong thing and when they were questioned by locals like Jan Beer, they used intimidation tactics to shut them up. Jan Beer was tailed and spied upon by the previous Government because she was uncovering the corruption that has been exposed by this Ombudsman report.”
The damning report follows a string of disastrous water policy failures by the previous Labor Government including the North South Pipeline and the Wonthaggi Desalination Plant.