Kristy McBain denies she misled parliament over shares

Regional development minister Kristy McBain defends allegations she misled parliament amid questions about her family’s share interests.

Regional Development Minister Kristy McBain. Picture: Richard Dobson

Regional Development Minister Kristy McBain has denied misleading parliament or breaching the ministerial code of conduct over her family’s former share interests, saying the shares in question were exempt.

The federal opposition is demanding Ms McBain further clarify her answer in parliament on Wednesday about whether she or her husband had been the beneficiary of share dividends.

Asked by Nationals MP Kevin Hogan “Did the minister or her husband receive any dividends from shares held while the minister was in breach of the Prime Minister’s ministerial code of conduct?”, Ms McBain answered simply “No”.

Sky News reported on Thursday that Ms McBain’s husband owned shares in Australian Foundation Investment Company until divesting them on Aug­ust 31, the day after the company paid its dividend.

The revelation prompted questions from the opposition.

“It appears from company records that the dividend was declared and paid at the time the shares in the relevant company were held by the minister’s husband,” opposition government services spokesman Paul Fletcher said. “Minister McBain needs to explain why she told parliament there had not been a dividend received,” he said.

Late on Thursday, Ms McBain’s spokeswoman said “the minister did not breach the ministerial code of conduct and gave the answer to a specific question”. “The shareholding is a broad-based diversified fund, a kind which is specifically exempted by the ministerial code of conduct,’’ she said.

Section 3.11 of the code requires ministers to “divest themselves of investments and other interests in public or private company or business, other than … publicly listed managed funds … where the investments are broadly diversified and the minister has no influence over investment decisions of the fund or trust”.