Minister says she never spoke to Premier's COS about app funds

The LNP has grilled tourism bureaucrats over the granting of taxpayer funds to a company co-owned by the Premier's chief of staff.

Last week, it was revealed the state's government's Advance Queensland Business Development Fund made a $267,500 "co-investment" in a company linked to Premier Annastacia Palaszczuk's chief of staff, David Barbagallo, for the development of an app called CruiseTraka.

Premier Annastacia Palaszczuk's chief of staff David Barbagallo during estimates hearings last week.Credit: AAP Image/ Jono Searle

Mr Barbagallo has been a director of Fortress Capstone since 2007 and holds a stake in the company with his wife.

CruiseTraka is described as a "smartphone-based solution used by passengers to share their cruise experience with family and friends back home in almost real time via social media and email".

During estimates, LNP tourism spokesman David Crisafulli asked Department of Innovation, Tourism Industry Development and Commonwealth Games director-general Damien Walker if the Premier's office had any involvement in the development of cruise ship policies, and if Mr Barbagallo had declared a financial interest in the cruise tourism industry.

"We clearly work closely with departments such as State Development, with Treasury and with the Department of Premier and Cabinet but in terms of our strategic work and our policy work, I'm not aware of any such contact," he said.

"I have not had any conversation with the chief of staff regarding that."

The Queensland government approved the new Brisbane International Cruise Terminal in October 2017, with the project, at the Port of Brisbane, set to open in mid-2020.

The Premier's office said Mr Barbagallo did not play a role in the development of policies related to cruise ships and he was not involved in the new cruise ship terminal.

LNP public works spokesman Michael Hart pointed out that Innovation Minister Kate Jones had ministerial responsibility for Advance Queensland and the Business Development Fund.

"Can you confirm who is responsible for the payment of $267,500 to Fortress Capstone Pty Ltd in March 2018?" he asked.

Mr Walker said Queensland Investment Corporation was the decision-maker when it came to new investments.

Ms Jones said she had never discussed the Business Development Fund or Fortress Capstone with Mr Barbagallo, nor had she received emails about them from him.

"I've had no discussions with David Barbagallo about that business, ever, why would I?" she said.

"In relation to the Business Development Fund, as we've already been advised, that is a decision made by independent assessors, it is not a decision of the cabinet."

Ms Palaszczuk has asked her department's internal auditor Ernst and Young to review the funding but her department has insisted Mr Barbagallo "removed himself from the application process as soon as he was employed by the Premier".

LNP deputy leader Tim Mander said the opposition was determined to "get to the bottom" of the issue.

"Queenslanders deserve to know the decision-making process around the Premier's chief of staff, most powerful adviser, receiving this grant and benefiting from that," he said.

"It doesn't pass the pub test and again we are asking the government to be transparent around this.

"It needs to go to the auditor-general who is independent and has proven in the past to be able to reveal these inadequacies."

- with Lydia Lynch