Parliamentary boss failed to record ‘close relationship’

The nation’s senators are taking full advantage of their last chance for the year to quiz ministers and mandarins in Senate estimates.

Potential conflict of interest

Parliamentary Services boss Rob Stefanic was in a close personal relationship with his former deputy, Cate Saunders, but failed to record the potential conflict of interest in writing, according to the acting secretary of the department, Jaala Hinchcliffe.

Parliamentary Services acting secretary Jaala Hinchcliffe told a Senate estimates hearing on Monday that the department did not know when Stefanic would return from leave and that he remained on full pay.Credit: Alex Ellinghausen

Hinchcliffe also confirmed that Stefanic took leave on October 9, six days after the National Anti-Corruption Commission (NACC) executed warrants at Parliament House, though she did not suggest the two matters were linked.

Hinchcliffe told a Senate estimates hearing on Monday that the department did not know when Stefanic would return from leave and that he remained on full pay.

“I confirm that I have asked the National Anti-Corruption Commission whether the information I am providing in this opening statement will impact or impede their investigations. The NACC has advised me that it will not,” Hinchcliffe said.

“The National Anti-Corruption Commission attended Parliament House on the third of October this year in relation to an ongoing investigation. I can confirm that the NACC executed warrants on the Department of Parliamentary Services.

“Any questions about this activity and any investigation that the NACC might be undertaking should be referred to the NACC as I am conscious that discussing matters may inadvertently identify persons of interests, prematurely damage reputations and/or compromise an individual’s right to impartial adjudication.”

Hinchcliffe was asked a series of questions by senators including Liberal Jane Hume and One Nation’s Malcolm Roberts about the raid and the circumstances under which Stefanic had taken leave, but declined to comment further.

In estimates in May, Stefanic stated that he had not been in a relationship with Saunders when he became her boss. Saunders was Stefanic’s deputy before moving to Services Australia. After six months with Services Australia, Saunders reportedly left after being offered a $315,000 incentive payment to retire from the public service.

Hinchcliffe said on Monday during the Senate hearing that the department he engaged Fiona Roughly, SC, to conduct an independent fact-finding investigation into her department’s role in the incentive-to-retire payment, following an internal complaint.

And under questioning from Hume, Hinchcliffe said her understanding was that Stefanic had first made a verbal declaration about a potential conflict of interest to the Australian Public Service Commissioner in August 2022.

It was not until June 2023 that Stefanic made a similar declaration to parliament’s presiding officers, Speaker Milton Dick and President Sue Lines, despite the fact he had been required to do so in writing in February of that year.

“I understand that the declaration went to [a] close personal relationship with the former deputy secretary,” Hinchcliffe said, adding later there was “no record of the conversation”.

Hume replied: “So we’ve got no record of the declarations … we’ve only got recollections. We’ve got inconsistent stories about who knew what and when. We have an inconsistent and at best, patchy record of when the department was told about a secondment for the deputy secretary. Do you think then that it’s acceptable … the record keeping is so inadequate?”

Hinchcliffe said it would be a focus “for us at DPS to ensure that we have got our record-keeping policies and framework set properly”.

Chinese EV

Labor cabinet minister Murray Watt confirmed during Senate estimates that Home Affairs Minister Tony Burke drove a Chinese-made EV.Credit: Alex Ellinghausen

Home Affairs Minister Tony Burke has defended his decision to drive a Chinese-made electric vehicle, as he came under fire from the opposition for putting national security secrets at risk.

Labor cabinet minister Murray Watt confirmed during Senate estimates hearings on Monday that Burke drove a Chinese-made EV.

“Immediately on being appointed to this portfolio, Minister Burke informed his department and security agencies that he had a Chinese-made vehicle,” Watt said, reading a statement provided by Burke’s office.

“He was given advice on appropriate precautions to take and has taken those precautions.”

Opposition home affairs spokesman James Paterson said he was concerned about Burke driving such a vehicle because of the “large number of national security and cybersecurity risks” associated with such cars.

These included the possibility of the car being tracked and someone listening in on conversations happening inside the vehicle, he said, referring to evidence provided by Home Affairs officials.

“Wouldn’t it be of concern if the minister is driving around in a listening device?” Paterson said.

In September, the Biden administration cited national security concerns when announcing a move to ban Chinese-developed software from internet-connected cars in the United States.

Climate wars

Australia’s climate wars were also raging, with a slanging match over renewable energy and nuclear power culminating in a former Liberal MP suggesting his own side of politics was chasing headlines with its claims about energy prices.

Former NSW Liberal treasurer Matt Kean appeared at Senate estimates in his capacity as chairman of the Climate Change Authority, which provides policy advice to the government.

Kean was accused by Nationals senator Ross Cadell of failing to properly test the findings of national science agency CSIRO and the Australian Energy Market Operator, which have found renewable energy is significantly cheaper than nuclear energy.

Former NSW Liberal treasurer Matt Kean appeared at Senate estimates in his capacity as chairman of the Climate Change Authority, which provides policy advice to the government.Credit: Alex Ellinghausen

“This is where we go Mr Kean, we come in here and we can’t question the advice,” Cadell said.

Kean was appointed to the authority by Energy Minister Chris Bowen in June, after he stood down from political office. His sharp responses to questioning by at-times hostile opposition senators differed from the typically subdued appearances of the agency.

“I know you are trying to get your grabs up on Sky at the moment,” Kean shot back at Cadell during the testy exchange.

Cadell argued that nuclear was needed as part of a “balanced” energy mix and Kean criticised the opposition for failing to back renewables as the cheapest form of electricity generation.

“If you want to talk about what will drive up the cost of electricity, it is nuclear power. It will drive up the cost of electricity for millions of Australians across the country,” Kean said.

Tomorrow’s Senate estimates centrepiece will be the ABC.

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