Lawyer X ‘known to legal chief early’

Victoria Police lawyer says the government solicitor knew Nicola Gobbo was an informant well before he said he did.

Nicola Gobbo during an ABC 7.30 interview in December. Picture: ABC

Victoria Police’s top lawyer says the government solicitor at the time knew Nicola Gobbo was a registered police informant five years before he said he did.

Legal director Fin McRae said on Friday he had attended a meeting in 2010 with John Cain, then Victorian government solicitor and now State Coroner, where Ms Gobbo’s status as police informant Lawyer X was “discussed openly”.

In his statement to the royal commission into the police management of informants, Mr Cain said: “I first became aware in 2015 that Ms Gobbo was, or might be, a human source.”

Mr Cain also worked at the ­Office of Public Prosecutions and is the son of John Cain Jr, the state’s longest serving Labor premier.

Mr McRae said he had discussed Ms Gobbo’s role as a source in a meeting with Mr Cain and then-director of the now defunct Office of Police Integrity, Michael Strong, and deputy director Paul Jevtovic on August 5, 2010.

“Well, I’d spoken to John Cain … that we’re proposing to settle a matter that involves a defence practitioner who has been a human source and it involves the government,” Mr McRae said.

When counsel assisting, Chris Winneke QC, asked Mr McRae about Mr Cain’s memory loss, he said: “Well like the other lawyers, I just think that it didn’t send a flag up for them and he’s forgotten.”

Ms Gobbo was suing Victoria Police for $20m after detectives in 2009 tried to transition her from secret informant to witness against drug squad detective Paul Dale for the 2004 murders of Terrence and Christine Hodson.

Citing increased risk to her life as well as the end of her career as a lawyer for gangland heavies including drug kingpin Tony Mokbel, Ms Gobbo was awarded almost $3m.

Ms Gobbo never appeared as witness against Mr Dale and the charges against him were dropped.

Mr McRae told the commission briefing notes about Ms Gobbo’s settlement were prepared for the then police minister, although he did not know whether the minister was ever briefed.

Mr McRae told the royal commission on Friday that by 2010 it was an “open secret” in legal circles that Ms Gobbo was giving information to detectives: “Our concern was a criminal who wasn’t apprised of that information would murder her.”

Mr Winneke read a text message sent by Ms Gobbo on June 28, 2010, which was then emailed to employees at the Victorian Government Solicitor’s Office before being shared with Mr McRae.

“Am totally wrecked after yesterday, got defence,” Ms Gobbo said. “Am deeply offended and staggered by the dishonesty and stupidity of it, Pandora's box is well and truly open … I welcome any trial and the royal commission that will inevitably follow.”

Mr McRae said he was informed of Ms Gobbo’s comments but didn’t seek to inquire further on the meaning of Ms Gobbo’s words, remaining ignorant she was sharing information on her clients with detectives until 2012.

On Friday, Mr McRae said then-commissioner Simon Overland wanted to push back against Ms Gobbo, with only then-deputy commissioner Sir Ken Jones thinking it would be unwise to fight the matter. “The only comment that was made in terms of settlement was from Sir Ken,” Mr McRae said. “Who said that to Simon, this is one you want to settle.”

Ms Gobbo is scheduled to give evidence on Tuesday.