‘Heads should roll’ call as Tasmanian auditor-general savages public funds for Voice Yes campaign

Tasmania’s auditor-general has slammed a publicly-funded grant of more than $500,000 for the Yes campaign, finding ‘no evidence’ of ‘the rationale’ and ‘significant record-keeping gaps’.

Tasmanian Premier Jeremy Rockliff, Pat Farmer, Prime Minister Anthony Albanese, Linda Burney MP and Hobart Lord Mayor Anna Reynolds at Town Hall, Hobart, for a Yes campaign event during the 2023 referendum. Picture: Chris Kidd

There are calls for heads to roll after Tasmania’s auditor-general savaged a publicly funded grant of more than $500,000 for the Yes campaign in last year’s voice referendum.

In an audit tabled in state parliament on Thursday, Auditor-General Martin Thompson found the Tasmanian Community Fund grant “did not follow an effective process” and was not adequately assessed.

As well as finding “no evidence” of “the rationale” for the $557,800 grant, and “significant record-keeping gaps”, Mr Thompson’s report concluded a “reasonable person” could perceive the grant decision was “not objective”.

“We also found that the risk of a No vote and the potential impact of this outcome on the value for money of the grant was not assessed,” the report said.

“The TCF did not consider whether the decision could be perceived to be political in nature … The TCF did not seek ministerial approval or external advice.”

Tasmanian auditor-general Martin Thompson.

TCF is an independent body that distributes community grants from the proceeds of the sale of the state-owned Trust Bank. It says it has distributed $111m in grants to more than 3000 projects since 1999.

Tasmania’s Liberal government immediately promised to legislate improved governance of the TCF board, which “strongly” rejected many of the key findings.

“The use of public funds for political purposes does not meet community expectations and the government did not endorse, nor approve, this use of these funds,” Community Services Minister Roger Jaensch said.

Tasmanian Liberal senator Jonno Duniam called on those responsible for the grant to consider resigning.

“The TCF board’s actions went well beyond its legislated remit and, no matter anyone’s opinion on the matter of the voice referendum, is a massive breach of faith with the Tasmanian community,” he said.

“TCF is not a treasure chest for activists and their causes, but a fund to support my fellow Tasmanians in need. I sincerely hope those who made the decision to provide this money to the Yes campaign reflect on this damning report and what it means for the tenability of their positions.”

TCF directors said they “strongly disagree with and refute the majority of findings” in Mr Thompson’s report.

TCF director Alex McKenzie said while some its documentation “could have been better”, records of board deliberations were kept, and it did not accept that “appropriate rigour” was not applied.

“Tasmanian Audit Office did not consider the many factors that provide important context to our decision,” he said.

“This includes the board’s longstanding support for grants that assist Tasmanian Aboriginal communities …

“The report concluded the TCF board did not properly consider the political context of its decision.

“However, at the time the decision was made, all three leaders of the main political parties in Tasmania had publicly supported the Yes vote.”

Tasmanian Community Fund board members Ric De Santi and Alex McKenzie.

Mr McKenzie said the recipient of the grant, Australians for Indigenous Constitutional Recognition, was a registered charity.

“It seems to the TCF board that what it advised and provided (to the audit office) was not believed and disregarded,” he said.