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JEFF KENNETT

Jeff Kennett says ‘enough is enough,’ let the facts speak in Amber Harrison, Seven West Media and Tim Worner dispute

Former lovers: Amber Harrison and Tim Worner had a consensual relationship while employees at Seven West Media. Picture: Supplied
Former lovers: Amber Harrison and Tim Worner had a consensual relationship while employees at Seven West Media. Picture: Supplied

Here are some simple facts concerning Amber Harrison and Tim Worner. They had a consensual relationship while employees at Seven West Media, she as executive assistant to Nick Chan, head of Pacific Magazines, and he as head of television and later CEO. The relationship started in 2012 and finished in July, 2014.

As part of a normal internal expenses reconciliation, it was found Ms Harrison had misused her SWM credit card and Mr Chan’s for personal expenses to the tune of $14,000, which she admitted. She admitted that before disclosing her affair with Mr Worner.

Amber Harrison is pictured with Peggy and Nick Chan at a social event in 2011. Picture: Lee Besford
Amber Harrison is pictured with Peggy and Nick Chan at a social event in 2011. Picture: Lee Besford

After that misuse, some in the company wanted Ms Harrison’s dismissed but others argued for a second chance in part because of her alleged fragile health. She was given time off to recover and told a job would be kept open for her, away from Mr Worner.

A financial settlement was also agreed, which Ms Harrison and SWM signed on October 1, 2014. She was paid $100,000 less the $14,000 she had misappropriated, a net payment of $86,000.

A condition of that agreement was confidentiality and the return of SWM company property including a mobile phone, laptop and copies of all email and sms transmissions, including those between Ms Harrison and Mr Worner.

The then board docked Mr Worner’s remuneration by $100,000 because the relationship had been inappropriate.

But the chief financial officer of SWM at the time, David Boorman, didn’t accept the explanation regarding misuse of the credit card and SWM engaged Deloitte to do a forensic audit of Ms Harrison’s cards. The report identified questionable expenditures which totalled about $262,000.

Ms Harrison disputed many of those claims but at least $54,000 was admitted and a further $70,000 appeared to be personal expenses.

Ms Harrison was told that in the circumstances a job could not be held open for her. She was given a copy of the Deloitte report to respond to and she engaged Harmers Workplace Lawyers, who made a financial and health claim on her behalf.

At a subsequent mediation, a second settlement deed was signed. It was agreed SWM would pay Ms Harrison an extra $350,000: $200,000 immediately plus $150,000 over 12 months, again conditional on return of the company property listed in the first settlement.

Four instalments were paid totalling $50,000 when payments ceased because it was obvious Ms Harrison had not returned the company’s assets, was not respecting confidentiality (having contacted journalists) and was claiming to have copies of the documents she had agreed to return.

In late December 2016 she made a public statement making a number of allegations against Mr Worner and SWM.

The board commissioned an independent investigation by law firm Allens Linklaters into those allegations which included a review of the board’s 2014 accounting investigation.

Ms Harrison’s allegations were not substantiated, in particular allegations made against other female employees at SWM. All those women have rejected her claims and taken action to defend their reputations. The company has supported them in that action.

When interviewed as part of the independent investigators’ work, the only evidence Ms Harrison appears to have provided were two taxi vouchers with no destinations on them, which may or may not have been used by Mr Worner.

To date SWM has paid Ms Harrison close to $330,000 as compensation for any damage caused by her consensual relationship with another SWM employee. SWM also paid $50,000 to her lawyers at the time.

Yet she has clearly broken the conditions of confidentiality and is continuing to release material that was covered by the confidentiality agreement.

On Monday, SWM obtained an ex parte injunction restraining Ms Harrison from any further release of SWM’s commercial documents and information, which Ms Harrison clearly has no right to have, let alone release.

The injunction also restrains Ms Harrison from releasing emails, documents and more salacious emails or texts. The contents of those exchanges were personal, private and not meant to be made public. Any further public release of such exchanges goes to an issue of character, in my opinion.

Under the circumstances, Ms Harrison has been treated extremely well by SWM for a relationship that she entered freely and which she continued for less than two years. This is not an issue of gender.

Had I been on the board of SWM when these matters were being decided, I would not have been so generous with shareholders’ funds — but I accept the decision makers acted generously, partly because of Ms Harrison’s alleged fragility.

But I will not agree to any further payments, nor allow Ms Harrison’s attacks on SWM and its staff to go unanswered.

The one-sided public portrayal of her claims is unfair, not accurate and in my opinion ignores the generosity that SWM has extended to Ms Harrison.

The board has spent considerable time, and shareholders’ funds, over the past two months having Ms Harrison’s claims independently investigated — without them being substantiated.

Of course the board regrets the cause of a time-consuming and expensive exercise. Mr Worner has been admonished and his remuneration docked and Ms Harrison compensated.

But enough is enough — and $380,000-plus is certainly enough. In fact you could say it’s too much for a consensual relationship that lasted for less than two years.

By the way, I am the sole author of this article, but my board colleagues have agreed to me releasing it publicly.

Jeff Kennett is a former premier of Victoria and has been a board member of Seven West Media since 2015.

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Original URL: https://www.theaustralian.com.au/opinion/the-simple-facts-about-amber-harrison-and-tim-worner/news-story/56dab4fb74c948aba96635a8fdca0e35