CCC chairman denies plotting to aid whistleblower

Queensland’s corruption watchdog allegedly plotted to overthrow the Logan City Council in the hope a whistleblower would be reinstated.

CCC chairman Alan MacSporran. Picture: Liam Kidston

The head of Queensland’s corruption watchdog allegedly plotted to overthrow the Logan City Council in the hope a star whistleblower would be reinstated as chief executive.

Crime and Corruption Commission chairman Alan MacSporran denied the accusation when it was put to him on Tuesday during a hearing for the parliamentary inquiry into the CCC’s aborted prosecution of seven Logan councillors that led to the disbandment of the council in 2019.

Barrister Jonathan Horton, who is assisting the inquiry, alleged the CCC’s prosecution of the councillors ultimately failed this year because it was “affected or infected by an improper purpose”.

“The matters I’ve put to you show, on behalf of the (CCC), a failure at all times to act independently, impartially and fairly,” Mr Horton said to Mr MacSporran.

“And your involvement … was part of that failure.”

Mr MacSporran, who rejected the assertions, was accused of plotting for more than six months to help former Logan council CEO Sharon Kelsey, who was struggling financially to fund her unfair dismissal case in the Queensland Industrial Relations Commission.

She was sacked by the seven councillors after she turned whistleblower against the former mayor, Luke Smith. The charges against the councillors were dropped in April and Ms Kelsey lost her unfair dismissal case in the QIRC.

Mr MacSporran repeatedly denied there was any ulterior motive or improper purpose behind the CCC’s actions.

In August 2018, shortly after Ms Kelsey told Mr MacSporran about her financial difficulties, Mr MacSporran discussed the matter with a CCC police officer who said Ms Kelsey’s lawyer advised that “the appointment of an administrator is the only practical solution now” to Ms Kelsey’s reappointment.

If a friendly administrator reinstated Ms Kelsey as CEO, her legal costs – estimated to be $2.5m – would have been covered by the council.

Mr Horton accused the CCC of specifically charging a substantial number of the councillors with the serious offence of fraud so that it would trigger Palaszczuk government legislation dismissing the entire council because it could not form a quorum.

Emails showed Mr MacSporran was given advice about what charges would cause disqualification of a councillor.

“The dissolution of the council to occur was to remove a serious obstacle to Ms Kelsey’s reinstatement, namely the removal of those with whom the relationship had soured,” Mr Horton said.

“Your decision to assist Ms Kelsey, and to have your organisation pursue that course, became a commitment to help her cause without restraint, or any real concern for impartiality.

“Charging of the mayor and the seven counsellors, on the April 26 (2019) for fraud, was for a weighty and substantial purpose of assisting Ms Kelsey’s reinstatement.

“The charges … were laid at a time which could only have been directed to making sure the dissolution of the council was known to the QIRC when it heard closing submissions.”

When the interim administrator, experienced public servant Tamara O’Shea, declined to reappoint Ms Kelsey, CCC officers considered investigating Ms O’Shea.

“When it became clear that Ms O’Shea was not going to reinstate Ms Kelsey, your organisation took steps to investigate the removal of Ms O‘Shea on grounds which included dishonesty,” Mr Horton said.

Ms O’Shea last month denied any wrongdoing.

Mr MacSporran repeatedly rejected the assertions.

“Frankly, I think it’s obvious … that we were totally fair, independent as much as we could be, and proceeded at all times along that path,” he said.

The findings of the public hearing will be put to those adversely affected before another round of hearings later in the year.

The committee is due to release its report by November 30.