Whistleblower slams Public Trustee’s office

A whistleblower has alleged financial dramas and a toxic workplace environment have undermined a peak Queensland government agency.

Public Trustee Peter Carne was suspended from the role by Attorney General Yvette D’ath last month.

EXPLOSIVE CLAIMS

ALLEGATIONS of financial dramas and a toxic workplace environment at the Public Trustee’s office have surfaced.

The detailed claims, supplied to City Beat by a whistleblowing insider, coincide with this week’s tribunal ruling, ordering the Public Trustee to pay a car accident victim more than $37,000 compensation for failing to protect his financial interests.

“I am aware of many cases where this kind of thing has happened, one where the PT was revoked and a private administrator appointed instead and another where the PT failed to insure a deceased client’s house and it burned down,’’ he said.

“The PT had to pay the Queensland Government Insurance Fund excess, which I believe was $100,000, and the QGIF paid out the claim for the replacement of the house.’’

Our source also alleged that some executives in the agency had considered ways to use previous years of surplus for operational needs, rather than capital works as intended.

It’s understood this issue was at least partly responsible for the resignation of CFO Tim Murphy, who objected to the idea and left in mid-2017 after five years in the job.

He now holds the same position at SunWater.

We also hear that a new software package known as “Athena’’ was supposed to cost just a few million dollars but that figure has now blown out quite substantially.

One staffer described the planned digital roll out, intended to replace the “Client Information Management System’’ known as CIMS, as “a great big fail’’.

DYSFUNCTIONAL OFFICE

Against this backdrop is an allegedly dysfunctional office culture at the Public Trustee, which manages a whopping $2.7 billion in assets.

“Staff know things are wrong however they are too scared to speak up,’’ the whistleblower told us.

“There is no formal training before you are put into contact with clients and responsible for managing their assets other than a ‘buddy system’.

“It’s basically sink or swim and a majority either sink or appear to swim.

“Basically what you have at the PT is vulnerable staff looking after the finances of vulnerable Queenslanders.

“It’s a disaster waiting to happen.”

A spin doctor for the Public Trustee’s office said yesterday the agency was “committed to a culture of openness and trust’’ and “runs a range of formal and informal training programs for all staff.’’

She did not answer specific questions about the surplus, Murphy’s departure or the cost of the Athena system.

Public Trustee Peter Carne was suspended from the role by Attorney General Yvette D’ath last month.

Trustee Peter Carne, who was suspended by Attorney General Yvette D’ath for “serious allegations that could amount to misbehavior’’ in a shock move last month, was unable to be contacted.

The Crime and Corruption Commission has confirmed it is “investigating allegations of corrupt conduct relating to the Public Trustee’’. Murphy did not respond to a request for comment.

ALLEGED WRONGDOING

MEANWHILE, the complaints unit inside the Public Trustee confirmed this week that it would examine allegations of wrongdoing levelled by a woman distressed at the agency’s administration of her late parents’ estate.

She claims she was stymied in receiving financial statements over a two-year period and a property was overvalued in order to charge higher fees.

It’s also alleged that other excessive fees were levied, a valid will was ignored and the Public Trustee improperly colluded with a law firm prior to a court hearing.

But the head of the unit made clear they will not consider two of the woman’s other allegations regarding the improper actions of a social worker and claims that money was removed from her father’s bank account before his death.

Acting Public Trustee Samay Zhouand has been made aware of the case.

CAREER DECLINE

THE former head of venture capital at failed Brisbane outfit Blue Sky Alternative Investments has flagged the possible imminent decline of her career but she says her comments shouldn’t be taken literally.

Former Blue Sky executive Elaine Stead

Elaine Stead, who now manages South Australia’s $50 million venture capital fund, took to Twitter this week to comment on an article about the inevitability of vocational unravelling.

“I’ve had to accept three professional declines – one to play basketball professionally (yes, you read that correctly), one as a scientist, and I suspect my current careee (sic) decline ain’t far away,’’ she wrote.

Not exactly a ringing bit of self-promotion from someone aiming to inspire the startup community but Stead said not to read too much into it.

Okay then.