Investigation into Cr Kate Richards leads to corruption watchdog calling for grants program review

While Queensland’s corruption watchdog has found no criminal conduct against Cr Kate Richards, it has called for an overhaul to a Brisbane City Council grants program.

QUEENSLAND’S corruption watchdog has recommended major changes to a Brisbane City Council discretionary grants program following its investigation into Cr Kate Richards.

It found no criminal conduct against Cr Richards (Pullenvale Ward) but recommended extensive changes to the Lord Mayor Suburban Initiative’s Fund (LMSIF).

The recommendations included “a review of the current situation that allows councillors to both make (an) application for LMSIF funding and then approve that same application be carried out”.

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Cr Kate Richards with her husband Matthew and children Hamish, 6, Dom, 15, and Will, 16. Picture: Annette Dew

It also recommended a review of the LMSIF program and that the existing assessment forms be changed to increase transparency and accountability; and called for more independent oversight of the grants process from non-elected council officers.

Cr Richards was referred to the CCC by her former party, the LNP, who released the fact it had made a complaint to the media last year.

The CCC stated its “longstanding position” was that complaints and other details relating to assessments and investigations should “remain confidential”.

“To remove any doubt, the CCC does not make any criticism of a complaint being made to the CCC in relation to this matter,” it stated.

“The CCC does, however, find the fact that it was publicised disappointing.”

The watchdog published its statement this morning, after Cr Richards’ lawyer Terry O’Gorman revealed his client had been cleared last Friday.

“The CCC has determined there is not sufficient evidence to substantiate any of the allegations or proceed with criminal offences against any person,” the CCC stated.

Cr Kate Richards arriving at Brisbane Supreme Court. Picture: Attila Csaszar

One of the allegations the watchdog investigated was that Cr Richards allegedly misused grant funding from the LMSIF provided to the RSL Kenmore-Moggill sub-branch for events and community cricket matches.

“It was alleged that she imposed a condition requiring the funding to be applied to engage a specific business owned and operated by a personal friend,” the statement read.

The CCC interviewed a number of witnesses and Cr Richards and stated there were conflicting versions and that it was “unable to be confident about some of the key facts”.

“No adverse comment is made in this regard about any of the witnesses interviewed, or Councillor Richards,” it stated.

It did establish that in 2017 and 2018 Cr Richards was involved in funding applications and approval processes for a launch event.

Each year, a particular business provided catering services and Cr Richards had a pre-existing relationship with the owner/operator, the CCC stated.

Cr Richards told the CCC during her voluntary interview they were an acquaintance and not a personal friend, and denied pushing for that particular business to be used.

She did not make a conflict of interest statement in relation to the applications.

“The CCC is of the view that the application of funds from the LMSIF could have been more transparent to avoid perceptions of corruption, particularly insofar as the manner in which those funds were used in relation to catering by a particular business,” the CCC stated.

Cr Richards said the CCC’s statement was made up of two separate parts and the recommendations had “nothing to do with my conduct”.

“It’s a media release about the matter – remember it was matters but the CCC only chose to look at one – and its recommendations to the bureaucracy at City Hall and it’s up to them the recommendations they choose to take on,” she said.

LNP state president David Hutchinson said the CCC decision vindicated the party’s decision to go to the crime and corruption watchdog.

“The CCC was sufficiently concerned about Kate Richards’ conduct to make a series of recommendations to three governing bodies for greater scrutiny of the processes she used,’’ he said.

“This completely vindicates the LNP’s decision to pass the information on to investigators and to recommend against her being our candidate at this week’s election.

“Just as in the Jackie Trad case, although the CCC didn’t find enough evidence to press charges, it has recommended changes to the system as a result of the information we sent them.

“The LNP will never apologise for demanding the highest standards of our candidates and elected officials, and our concerns have now been completely vindicated.’’

Cr Richards said key LNP members needed to apologise and resign.

“It actually doesn’t vindicate their bad behavior. It’s not acceptable. Backroom deals by the LNP need to stop,” she said.

“I’m looking forward to my apology, as is my family.”

The CCC has written to the Brisbane City Council’s chief executive officer to recommend a number of procedural improvements to the LMSIF.

Lord Mayor Adrian Schrinner said the council had only just received the recommendations.

“Of course we will take them seriously,” he said.