SA prosecutors tender no evidence against ex-Renewal SA boss John Hanlon in wake of twin bombshells about ICAC’s conduct

On the first day of what was supposed to be ex-Renewal SA boss John Hanlon’s corruption trial, prosecutors dropped the case – after two shocking revelations about ICAC.

Corruption allegations against ex-Renewal SA boss John Hanlon have been dropped – for a second time – in the wake of revelations about ICAC’s handling of the case.

On what was to be the first day of trial, and after an 18-month ICAC investigation and 32 months of court hearings, prosecutors on Wednesday formally withdrew their case against Mr Hanlon.

The capitulation, in the District Court, is the second time the beleaguered case has floundered – last year, the Magistrates Court threw it out, only for prosecutors to reactivate it.

It also means Mr Hanlon, 63, is entitled to seek reimbursement of his legal costs – $500,000 on top of the estimated $1m spent, by the state government, pursuing the case.

Outside court, a relieved and emotional Mr Hanlon called for the anti-corruption watchdog to be completely overhauled.

He said its relationship with the Office of the Director of Public Prosecutions should also be investigated.

“They are wrong, they are ‘prosecutions at any cost’, and I mean any cost – they don’t care about anything else,” he said.

“There was an email that would have been tendered in a trial in which (ICAC) wrote it was ‘imperative to get a successful prosecution’ against me.

“I think it’s outrageous, and that it’s not what the state government or anyone in South Australia thought would happen in our judicial system.

“This can never happen again in our justice system … the fish rots from the head.”

Former Renewal SA boss John Hanlon and his wife Jenny outside court. Picture: NCA NewsWire / David Mariuz

On Wednesday, prosecutors formally tendered no evidence on longstanding allegations – which Mr Hanlon has always denied – that he spent $15,000 of taxpayers funds on personal interstate and overseas trips.

They did so having tried, and failed, to have the trial adjourned so key witnesses could be flown into Adelaide from Germany to give their evidence in person.

That was prompted by the first of two revelations about ICAC.

Last Thursday, two investigators conceded under oath they had failed to comply with international law by interviewing those witnesses, in September 2019, without the German government’s permission

One half of that duo was the organisation’s director of investigations, Andrew Baker.

They further conceded they had been told of their mistake, by Australia’s consulate general to Berlin, but neither corrected it nor disclosed it to prosecution or defence counsel.

In addition to refusing to delay the trial, Judge Tim Heffernan also ruled the so-called “German evidence” to be inadmissable, meaning it could not be used by prosecutors.

Then, on Tuesday, the court heard ICAC had been in possession of evidence supporting Mr Hanlon’s claims of innocence since August 2019, but had never disclosed it.

That evidence was in the form of an expert report matching Mr Hanlon’s mobile phone to cell towers near multiple German businesses he insists he visited during his trip.

Mr Hanlon has maintained his innocence since he was first charged. Picture: NCA NewsWire / David Mariuz

That same evidence also showed the phones of Mr Hanlon’s wife and daughter “kilometres apart” from his.

Despite ICAC having had that evidence in its possession for more than three years, its existence had never been revealed to prosecutors or defence counsel.

It only came to light after court last Friday, when Mr Hanlon’s legal team examined documents provided in answer to a subpoena.

Wednesday’s decision by prosecutors means Mr Hanlon has been released from all of his bail obligations and no longer faces trial.

On Wednesday, David Edwardson KC, for Mr Hanlon, asked Judge Heffernan to formally publish his reasons for refusing the adjournment and throwing out the German evidence.

They said those documents would be helpful to his client in later matters to do with compensation and “ex-gratia payments”.

As a matter of law, he is also entitled to seek to have his legal costs reimbursed, which means taxpayers will likely foot the bill for all the work his legal team has done over the past 32 months.

It is estimated that, between ICAC and the office of the Director of Public Prosecutions, close to $1 million of taxpayer funds have been spent pursuing Mr Hanlon.

That does not include the wasted court time set aside for a trial that will never happen.

Mr Hanlon’s own legal expenses are estimated to be $500,000.

Mr Hanlon said, outside court, that he had loved his job – and ICAC “tore all that away from me”. Picture: NCA NewsWire / David Mariuz

Judge Heffernan told Mr Edwardson he “was intending to publish my reasons anyway” in the next few days, as it was “appropriate” they be widely available.

Outside court, Mr Hanlon thanked his family, legal team and supporters and paid tribute to SA Police officer Doug Barr, who took his own life while under ICAC investigation.

He admitted he, too, had experienced suicidal thoughts during his case.

“Doug’s wife, Debbie, asked me to always keep fighting and not go down the same path – I thank her for that, it gave me a lot of strength,” he said.

“I can only hope Debbie hears this today, and that we have done something for Doug’s memory.”

Mr Hanlon said “fighting ICAC, very senior people in the DPP and very, very senior people in politics” had extracted an “unspeakable” emotional toll.

“I have never been corrupt, I have never done anything corrupt at all, I loved my job and I loved working for this state.

“They tore all that away from me.”

SA-Best Upper House MP Frank Pangallo said Mr Hanlon’s case was a “narrowly-avoided, tragic miscarriage of justice”.

“Make no mistake, this is one of the most serious failures of our criminal justice system,” he said.

“And it’s all because of the conduct of ICAC in presenting a case that was just totally flawed and botched from the beginning.”