Queensland election: LNP leader David Crisafulli silent on $200,000 insolvent trading settlement
David Crisafulli has refused to say how and why he paid for a $200,000 ‘settlement’ payment to liquidators investigating him for insolvent trading.
David Crisafulli has refused to say how and why he paid a $200,000 “settlement” to liquidators investigating him for insolvent trading, while insisting his campaign to become premier is based on integrity and transparency.
For the second day running, the LNP leader has not answered a series of questions about the collapse of Southern Edge Training in mid-2016, shortly after he left as sole director and chief executive of the registered training organisation.
Corporate records filed with the Australian Securities & Investments Commission show Mr Crisafulli paid the company’s liquidators $80,000 on March 12, 2020, $60,000 on July 30, 2020 and $60,000 on July 19, 2021 – recorded as “settlements” of liquidators’ actions.
The PwC liquidators’ report in mid-2019 flagged they would seek compensation from directors “if we determine the company traded while insolvent”.
Their investigation found the company appeared to have done so since at least December 1, 2015, the same day Mr Crisafulli took over as its only director.
Liquidators used as evidence several events that occurred during Mr Crisafulli’s four months in charge, including a legal demand from the ATO and the cancellation of its Victorian government training registration.
But the Opposition Leader – who according to published polls is on track to become Queensland’s next premier after the October 26 election – would not explain why he had to make payments totalling $200,000 or how he financed the settlement.
“You’re talking about a business I was involved in for four months, one that I came into on the promise of capital that didn’t eventuate. Read the report and read the findings. There are none against me,” he said.
Asked whether he had sold a property or borrowed the money to pay the settlement to liquidators, Mr Crisafulli said the questions were “personal”.
He would also not say what his relationship was with Rabieh Krayem, who donated to Mr Crisafulli’s successful 2012 election campaign to win the Townsville seat of Mundingburra.
In 2014, Mr Crisafulli was the local member when the Newman government gave a $321,600 grant to Mr Krayem’s company Outcome Results to shift his call centre operations from Melbourne to the north Queensland city.
He said he was not the decision-maker, and had advocated for the grant as the local member, despite telling constituents on social media that he had “secured” the financial commitment.
When Mr Crisafulli lost his seat of Mundingburra at the 2015 election, Mr Krayem gave him jobs at two of his companies: Outcome Results (where the politician was a consultant from April to September 2015) and Southern Edge Training, of which Mr Krayem was part-owner.
“I wasn’t the decision maker (to award the grant),” Mr Crisafulli said.
“If there’s an allegation, I want someone to put it.”
Mr Krayem has not responded to questions from The Weekend Australian.
Treasurer Cameron Dick – who Mr Crisafulli has accused of leading a scare campaign against him about his business dealings – said the LNP leader should hold himself to a higher standard if he wanted to serve in high office.
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