BHP investigates invoices with mining equipment suppliers as allegations of misconduct come to light

A former mining industry supervisor has alleged it was an ‘open secret’ senior employees at BHP’s coal division were personally taking cuts from false equipment invoices — and was offered money himself.

Mining equipment on site. File photo.

“This was going on for years. Everyone knew about BHP.”

These are the words of a former mine site supervisor who claims he was personally offered money under the table by a senior BHP employee for turning a blind eye to incorrect invoices in the Bowen Basin.

“I was offered money in a pub one night. I was told if I play ball we would all win.”

Money for equipment which was never there. Money for equipment which wasn’t appropriate for job sites.

Earlier this month, BHP instructed labour hire firm Hays to terminate 26 contractors within its coal division, BMA.

BHP is investigating a still-unknown volume of contracts, and wouldn’t answer questions on the scope of its audit.

Our source claims equipment suppliers which played a role were winning contracts because BHP senior employees received kickbacks and pay-offs.

“I was asked to sign invoices where the equipment wasn’t even on site,” he said.

“It was parked outside the front gate for a month.”

He claims the invoices he was asked to sign off by senior employees at BHP were more than a million dollars. People who would push back were pushed out of BHP, and replaced by those who would go along with it.

When contacted by phone, an employee of a mining equipment hire firm named by our source said all the allegations were “completely and utterly false, including the invoices”, before warning a reporter to “be mindful because your name and details will be given to solicitors”.

“BMA leadership has made a call to change their leadership. That has nothing to do with [our company],” she said.

“We’ve been told by BMA leadership it is business as usual.”

File photo, miner on site.

BHP’s Bowen Basin coal mines are operated by BMA, a joint-venture between the company and Mitsubishi.

Our source said multiple people had made complaints through BHP’s internal whistleblower system, but they would go nowhere.

“If they get a sniff of someone whistleblowing you’ll never get a job in the Bowen Basin again,” he said.

“It’s the fear that’s been put in everybody.”

His concern was safety — if you have equipment which isn’t appropriate for the work, that puts the people using it in danger.

“People weren’t correctly trained but were signed off to put bums in seats and claim more money,” he claimed.

“You’re working with people who are incompetent. You’re using equipment which isn’t suitable for the work, so it’s a hazard. You have people driving around in big equipment but they don’t know what they’re doing.

“That’s a big factor why a lot of supervisors felt it was too dangerous.”

A series of questions were put to BHP regarding its investigations, whether it had received complaints about fraudulent invoices, questions regarding specific employees and equipment suppliers and its processes for whistleblowers.

A BMA spokesman responded: “BMA has robust measures in place to prevent and detect fraud and misconduct, and where it takes place, we investigate and take necessary action.”

“We encourage anyone to speak up if they have concerns any conduct is inconsistent with Our Code, internal requirements, or conduct that may be illegal or improper.”

Do you have information you would like to share? Contact [e-mail]. All sources are treated confidentially.