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The two whistleblowers in the Super Retail court case are both unemployed

Once the most powerful female executives at Super Retail, the two whistleblowers in the workplace scandal have told a court they are both unemployed and one hasn’t had income since February.

Super Retail Group chief Anthony Heraghty and former executives and whistleblowers Rebecca Farrell and and Amelia Berczelly.
Super Retail Group chief Anthony Heraghty and former executives and whistleblowers Rebecca Farrell and and Amelia Berczelly.

Super Retail Group’s once most powerful female executives, chief legal boss Rebecca Farrell and co-company secretary Amelia Berczelly, are currently unemployed with Ms Berczelly not receiving an income since February as the two battle the retailer in a workplace harassment lawsuit.

In the Federal Court before Justice Michael Lee on Tuesday, Ms Farrell and Ms Berczelly had brief appearances in the witness box as part of a separate but related hearing to their workplace claims where they both described themselves as unemployed.

The court was told both whistleblowers were unemployed, that Ms Berczelly has not been paid since February and that by May the costs of their lawyers had mounted to $800,000.

The appearances of Ms Farrell and Ms Berczelly – the first time they have spoken since the Super Retail scandal broke in April – came as part of a bid by lawyers for Super Retail attempting to have the women’s lawyers, Harmers Workplace Lawyers, disqualified from representing the pair.

Lawyers for Super Retail are citing a conflict of interest exists in Harmers representing Ms Farrell and Ms Berczelly as the law firm could also be a party to a defamation claim by Super Retail over a press release issued by the firm detailing some of the workplace allegations against the retailer and its CEO Anthony Heraghty.

Earlier this year the scandal around Super Retail, which owns Supercheap Auto, Rebel, BCF and Macpac, broke into public view when Ms Farrell, its former legal boss, and another executive – at that time unknown – made a series of sensational allegations against the retailer and Mr Heraghty. These included workplace bullying, misuse of the company’s travel budget and that Mr Heraghty was having an illicit and undisclosed affair with Super Retail’s head of human resources, Jane Kelly. Super Retail has denied these allegations.

Super Retail Group chief executive Anthony Heraghty in a Supercheap Auto store. Picture: Paul Harris.
Super Retail Group chief executive Anthony Heraghty in a Supercheap Auto store. Picture: Paul Harris.

The Harmers argument revolves around a press release issued in April by the firm about the workplace lawsuit and its potentially defamatory content. The lSuper Retail lawyers argue the press release was not legally protected, opening up exposure to the law firm’s chairman Michael Harmer.

Previously counsel for Super Retail had argued Harmers was seeking specific terms in an alleged settlement deal between the retailer and Ms Farrell that would protect the law firm from defamation – creating a potential conflict of interest with its client.

Ms Farrell was only briefly in the witness box before Justice Lee where she was asked if she had received independent legal advice over her legal representation by Harmers. She told the court she had sought independent legal advice from Jeremy Giles SC.

Later a lawyer from law firm Allens, representing Super Retail, entered the witness box and was asked questions about a meeting in May between Super Retail chair Sally Pitkin, Mr Heraghty and lawyers acting for whistleblowers over the workplace bullying scandal that has engulfed the company.

The lawyer, Sikeli Ratu, confirmed that in early May Allens partner Sonia Millen warned at the meeting – which went for several hours – the two Super Retail whistleblowers were potentially opening themselves up to defamation cases, exposed themselves to clawback of incentives and had potentially repudiated their work contacts.

Also present at the meeting was Mr Harmer, who is representing Ms Farrell and Ms Berczelly, who joined the May 4 meeting by phone.

Cross-examined by counsel for Harmers, Mr Ratu told the Federal Court that Mr Harmer mentioned Ms Pitkin’s problems with her directorship at the time at the troubled casino group Star Entertainment.

In the afternoon on Tuesday lawyers for both parties argued over the attempt by Super Retail’s counsel to disqualify Harmers.

The case is continuing.

Eli Greenblat
Eli GreenblatSenior Business Reporter

Eli Greenblat has written for The Age, Sydney Morning Herald and Australian Financial Review covering a range of sectors across the economy and stockmarket. He has covered corporate rounds such as telecommunications, health, biotechnology, financial services, and property. He is currently The Australian's senior business reporter writing on retail and beverages.

Original URL: https://www.theaustralian.com.au/business/legal-affairs/the-two-whistleblowers-in-the-super-retail-court-case-are-both-unemployed/news-story/33f197dbac51568e7ceeaee2a4f5b529