Logan Mayor Jon Raven defends $70m digital overhaul amid recruitment probe
Logan City Council is under investigation over allegations senior staff received kickbacks from Ampersand International, a recruitment firm awarded $2.4M in contracts for its Digital Transformation Program.
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Queensland Audit Office is investigating Logan City Council over allegations that senior staff received kickbacks from Sydney-based recruitment firm Ampersand International.
The firm has secured staffing contracts worth over $2.4 million for the council’s multimillion-dollar Digital Transformation Program.
The Audit Office is investigating claims senior officers struck a secret deal with Ampersand, allegedly receiving under-the-table payments in exchange for directing all new hires exclusively through the firm.
Concerns about financial management and use of ratepayer funds have intensified following reports that the council has already spent $35 million on the program.
The Audit Office probe follows a separate internal investigation by Logan City Council, which has pledged to take the allegations seriously. No findings have been made and no criminal charges have been laid.
Calls for scrutiny also arose after Logan Mayor Jon Raven warned of possible hefty rate rises and asked ratepayers whether they preferred higher rates or fewer services.
Council contract records reveal that since April 2024, Ampersand International has been awarded multiple high-value contracts.
An insider flagged concerns with the Audit Office over exorbitant contract costs, noting that daily rates for some temporary roles exceeded $1600 — on par with top state government executives such as Queensland Corrective Services Commissioner Paul Stewart, who earns $425,000 annually.
Queensland Audit Office Director of Communication Vanessa Nuttall confirmed that if significant findings emerge, they will be reported to parliament.
“Each year, we audit Logan City Council’s financial transactions and balances to provide an opinion on their financial statements. If any acts or omissions result in waste or misuse of public resources, we report them to management, and if serious enough, to parliament,” she said.
The allegations extend beyond Logan City Council, with claims that former staff engaged in similar practices at the Department of Defence in Canberra, Brisbane City Council, and Gold Coast City Council.
Mayor Jon Raven, who is not being investigated, defended the Digital Transformation Program, arguing the $70 million investment over five years would ultimately save money.
“It accounts for just 0.06 per cent of our $1.1 billion annual budget, equating to about $20 per rates notice for five years,” he said.
He urged anyone with evidence of misconduct to report it to the council, the Crime and Corruption Commission, or Queensland Police.
Ampersand was contacted for comment on the allegations.
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Originally published as Logan Mayor Jon Raven defends $70m digital overhaul amid recruitment probe
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