Mt Gambier mayor Andrew Lee failed to declare winery income, use of taxpayer funds for China trip
A REGIONAL mayor has failed to declare income from a winery, and that he used a taxpayer-funded business trip to China where he met his new co-owner about the purchase of the business.
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A REGIONAL mayor has failed to declare income from a Coonawarra winery, and that he used a taxpayer-funded business trip to China where he met his new co-owner about the purchase of the business.
Mount Gambier Mayor Andrew Lee, 57, was a member of the State Government-organised Shandong Business Mission in April, 2016.
The Advertiser understands that during the four-day trip, Mr Lee met Chinese businessman Gang Ye, who later became his partner in the purchase of Rymill Coonawarra winery, near Penola.
According to ASIC records, Mr Ye, 50, and Mr Lee registered the business “Furundine Wine Co. Pty Ltd” in July, three months after the China meeting.
The company bought Rymill for an undisclosed amount in October but previous reports had listed a half stake of the winery at between $15 to $20 million.
When asked by The Advertiser, the Mayor, who left Hong Kong for Australia in June 1998, said he had no recollection of meeting with Mr Ye, a Shandong resident, during the Business Mission.
“That trip I didn’t see him,” said Mr Lee, before adding: “Let me think … I can’t remember.” Mr Lee is listed as a director, secretary and his business, Sage Associates, which he owns with Jianhua Zhang, is a 10 per cent shareholder of the company.
He has failed as required by the Local Government Act to declare income from Rymill on the council’s Elected Member Register, which can incur a maximum $10,000 fine.
Under the Act, councils must publish an elected member’s source of income, memberships and any gifts received worth more than $750.
When a member’s circumstances change, within 30 days they must advise the chief executive by letter, email or note.
Council chief executive Mark McShane told The Advertiser he had no knowledge of Mr Lee’s involvement in the winery.
“I’m not aware of it,” Mr McShane said.
The Mount Gambier council’s 2016/17 register was last updated on August 30 and only listed Mr Lee’s income source as his “mayoral allowance” of $63,600 a year.
Mr Lee said he owns two other businesses with his wife, but has not listed them as a source of income on the register.
Mr Lee said he received no income from his role with Rymill winery until December and would not comment on any income received from the other two businesses.