MP’s complaint over dumping of multimillion-dollar fraud case linked to major outback station referred to ICAC Inspector

The decision by SA’s Police Commissioner and a string of other senior officers to drop a fraud case involving an outback station has been referred to the ICAC Inspector.

Ian Lawton at home in North Adelaide. Picture: NCA NewsWire / Emma Brasier

South Australia’s top police officer and a string of other senior officers face further scrutiny over why an alleged fraud case, linked to a major outback station, was abandoned.

Attorney-General Kyam Maher has agreed to a request from SA-Best Upper House MP Frank Pangallo to refer the case’s handling to the state’s newly appointed Independent Commissioner Against Corruption Inspector, Philip Strickland SC.

Under the referral, the actions of Police Commissioner Grant Stevens, his force, other senior officers and ICAC officials would be examined. A referral does not necessarily lead to a formal investigation.

Police Commissioner Grant Stevens. Picture: NCA NewsWire / Naomi Jellicoe

Mr Strickland, one of the nation’s most respected barristers, has the same ICAC powers that allow him to compel witnesses to answer questions and produce documents.

The decision comes days after allegations from a senior whistleblower police officer about the state of SA Police and Premier Peter Malinauskas’ decision to extend Mr Stevens’ contract for another five years.

Late last week Mr Maher wrote to Mr Pangallo, revealing the case would be referred to the Inspector.

Father-of-two Ian Lawton, a 71-year-old prostate cancer sufferer, alleges he nearly went broke after being swindled more than $8m in a dodgy property deal.

He claimed an “entrusted man”, who cannot be named for legal reasons, duped him over the sale of livestock and of Mt Lyndhurst station, once part of the state’s greatest property empire.

The property’s sale, 74km north east of Leigh Creek in the state’s Far North, formed part of a parliamentary inquiry into the “damage, harm or adverse outcomes” from ICAC investigations.

The inquiry’s report has also been sent to Mr Strickland’s office.

Mr Pangallo said SA Police’s general attitude to the parliamentary inquiry had been “an outrageous affront to the parliament and the committee process” and that public confidence in the integrity of the force was important.

“All South Australians have the right to be treated by these law enforcement agencies honestly, fairly, and free from corrupting influence,” he said.

“While it is uncomfortable for the government to have the Police Commissioner face an investigation, just as they give him a generous five-year contract extension which will see him retire on a very handsome pension, the interests of justice still need to be served for the penniless Mr Lawton.”

The parliamentary inquiry, which Mr Pangallo chaired, made a series of adverse findings against police and other recommendations in November 2021.

Upper house MP Frank Pangallo. Picture: NCA NewsWire / Emma Brasier

This included a judicial probe into the handling of Mr Lawton’s case and any evidence from the police Complaint Management System.

Philip Strickland.

Mr Lawton, a retired stockbroker of North Adelaide, and various witnesses including a serving District Court judge, gave evidence to the parliamentary inquiry the police service was “untruthful” about why detectives dropped the investigation despite evidence of fraud.

Mr Stevens declined to answer the committee’s questions, as did his staff, after legal advice from Frances Nelson, KC, that it did not fall within the scope of the inquiry – claims MPs rejected.

Mr Stevens, who has been visiting various police stations with senior officers in the past week as part of a consultation into extended rosters, said: “South Australia Police is aware of the referral of this matter to the independent Inspector General and will happily assist as required.”

Mr Maher said concerns had been raised about the case’s handling.

“Now that we have an ICAC inspector appointed I have forwarded this matter to the Inspector for their consideration,” he said.

Mr Strickland declined to comment.