Audit uncovers branch-stacking risk for Liberal Party in WA

The audit identifies practices that point to the likely ‘attempted manipulation’ of state preselections, amid a push for significant reform.

An audit has uncovered a host of red flags pointing to the risks of branch-stacking among the Liberal Party in WA. Picture: Jason Edwards

An audit of the Liberal Party’s membership base in Western Australia has identified a host of red flags pointing to the risk of branch-stacking across the party’s branches and divisions.

A memo sent to the party’s state council by state president Richard Wilson, and obtained by The Australian, details widespread enrolment of members in branches and divisions outside their places of residence, as well as instances of dozens of party memberships being paid for on single credit cards.

The audit also identified ­instances of people from at least three different families all being listed as residing at the same ­address, which the memo said pointed to the likely “attempted manipulation” of preselections.

The findings come amid a push by Mr Wilson for significant reforms following heavy defeats at the 2021 state election and the recent federal election.

The party was reduced to just two lower-house state MPs last year, and now holds just five federal seats compared with 11 after the 2019 ­election.

Mr Wilson told The Australian the findings of the investi­gation by auditing firm BDO and subsequent legal advice from Herbert Smith Freehills re­inforced the need for change.

“The report details a number of things that are just not acceptable any longer in the Liberal Party, and we are acting immediately to change them,” he said.

“That will allow us to ensure that candidates are picked on merit, and that some of the activities that have happened in the past no longer happen.”

Mr Wilson is seeking to introduce a host of changes at the party’s upcoming state conference in the hope of restoring confidence in party processes, attracting high-quality candidates and improving an increasingly fraught financial position.

The BDO review found that more than a third of the party’s 9000-plus members in WA were all residing outside of their registered division, while almost two-thirds of members lived outside their registered branch.

The party’s issues with members residing outside their branch areas was flagged by The Australian last August, when it was ­revealed some members lived more than 100km from their branches.

Up until the new audit, the party’s only response to the revelations had been to begin ­expulsion proceedings – since abandoned – against a member wrongly accused of leaking the information to this newspaper.

The BDO review also found numerous examples of multiple memberships renewals being paid for on the same card, with the auditors describing the practice as “frequent and widespread”.

The audit identified 29 credit cards used for 10 or more transactions that did not appear to be for family members. Two of those cards paid for more than 50 different memberships in one year.

Mr Wilson said while the party knew the identities of those who had paid for the bulk memberships, it would not be taking ­action. “You’ve got to change the system. And in order to change the system, you need as much support as possible,” he said.

“These people have not broken party rules, it’s just that the party rules have not been fit for purpose. If you start naming ­people when they’ve followed the rules, they’re less likely to support a change.”

The measures being pushed by Mr Wilson include giving all members a say on preselections, stamping out the renewal of ­multiple party memberships on a single credit card, ensuring branch members reside in the relevant area, and making it harder for members to transfer in and out of multiple branches.

Mr Wilson’s memo was sent at the same time as members convened in Perth to discuss the party’s dismal result at the recent election. Sources described the meeting as civil, with members blaming the result on a lack of conservative policy positions.