Assistant treasurer Robin Scott was mistakenly paid a country residence allowance

Victoria’s Assistant Treasurer didn’t notice he was being overpaid more than $60,000 over two years, never querying his pay packets that included a generous perk.

Robin Scott. Picture: AAP Image/James Ross

Victoria’s Assistant Treasurer was unaware he had been mistakenly overpaid more than $60,000 in allowances over two years.

Robin Scott, the Labor MP for Preston, received the pay boost — meant for country MPs who have to maintain another property in Melbourne during sitting weeks — between late-2014 and September, 2016.

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Mr Scott said he was unaware of the error, which occurred when he was elevated to Cabinet as finance minister shortly after the 2014 state election and his salary rocketed from about $150,000 a year to almost $300,000 a year.

“At no time have I ever claimed the second residence allowance, nor have I ever submitted any other material in relation to a claim. This has been verified by the Secretary of the Department of Parliamentary Services,” he said.

At the time of the overpayment, the Department of Premier and Cabinet was using a system called eduPay to provide salaries.

Preston MP Robin Scott at the Thornbury Velodrome. Picture Andrew Tauber

When the Department of Parliamentary Services took over ministerial pay in late 2016, the error was identified.

Mr Scott never queried his pay packets that included the generous perk — worth up to $730 a week — but when the issue was identified he immediately set about paying it back.

He has since repaid the money in full.

An investigation failed to establish why it had ever been paid, given that Mr Scott never claimed to live in the country or require the second residence allowance.

The second residence allowance has been plagued by controversy, after former speaker Telmo Languiller and former deputy speaker Don Nardella rorted the generous taxpayer-funded entitlement, worth up to $38,000 a year.

Both of those MPs resigned after purporting to live by the beach more than 80km from Melbourne, despite representing suburban electorates. By doing that, they were able to claim the allowance meant for MPs who service a second Melbourne-based property.

Don Nardella in state parliament last term. Picture: Nicole Garmston

Independent researcher William Summers identified Mr Scott’s mysterious overpayment, saying he was paid at least $20,543 in 2015 and another $36,851 the following year.

The allowance is designed to cover the costs of MPs who live in regional Victoria and travel to Melbourne for parliamentary sitting weeks.

Mr Scott’s register of interests shows he only owns one property in Reservoir, which is in his electorate.

Department of Parliamentary Services secretary Peter Lochert said the issue was fixed in late 2016 once the DPS was put in charge of ministerial salaries and an audit was done.

“We put a payment plan in the (system) and it was paid back,” he said.

Shadow Treasurer Louise Staley said Mr Scott was either “out of touch and arrogant” or had “no attention to detail”.

“These Labor Ministers think they were born to rule. How else would they fail to notice an extra $60,000 in their bank accounts?”

Victorian Department of Parliamentary Services secretary Peter Lochert. Picture: Ian Currie

“It’s a concern to every Victorian family that they are in charge of the economy.”

The parliament and the Andrews Government decided against disclosing the repayment and the error at the time it was identified.

It was fixed prior to an independent audit in 2017 by PwC that found 40 MPs had received the second residence allowance during the parliamentary term.

Information was sought from 32 members who were claiming it at the time of the report.

It said another four MPs who used the allowance had retired, one had resigned and one had received a payment after losing his seat at the 2014 election.

The names of the MPs were not revealed.

Premier Daniel Andrews was forced to crack down on the second residence entitlement in 2017, with laws now limiting its use to country electorates 80km or more from Melbourne.

A separate bill passed this year will introduce a remuneration tribunal for MPs and will allow for some allowances to be published online by MPs.

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