Carlton president Luke Sayers under attack over PwC tax scandal on his watch
Luke Sayers is facing fresh allegations about PwC’s role in a tax scandal during his time there as chief executive.
National
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Embattled Carlton president Luke Sayers is facing fresh claims PwC had a “willingness to rob” Australian taxpayers when he was the firm’s chief executive.
Concerns have been raised about PwC’s alleged advice to companies about multimillion-dollar tax deductions for research and development.
The Australian Taxation Office ran a $2.9 billion clawback on the tax scheme in 2018, while Mr Sayers was CEO of PwC.
Labor Senator Deborah O’Neill said the allegations about PwC’s role in a second tax scandal raised serious questions about the firm.
“This behaviour points to a culture of apathy toward regulation and legislation, and a willingness to rob the Australian people of the tax that they are owed, which appears endemic at PwC,” she told the Saturday Herald Sun.
Mr Sayers was chief executive of PwC between 2012 and 2020, using his role as an adviser to governments and billionaires to build his network.
The Blues’ boss, who calls Daniel Andrews a mate, counts billionaire Lindsay Fox as an investor, and rubs shoulders with former Treasurer Josh Frydenberg, has insisted he will hang on at Carlton.
Ms O’Neill said his “role at the Carlton Football Club is a matter for the club to consider.”
“What is of greater interest is Mr Sayers’ role in the misconduct which occurred at PwC during the period in which he was the firm’s CEO,” she said.
“The attempts from Mr Sayers to shirk responsibility for matters of integrity and professionalism of staff under his purview do not reflect well on his leadership capabilities, and he will have many questions to answer before this matter is concluded. Attention now must surely also rest on his own consulting firm, ‘Sayers’.”
Mr Sayers could probably retire to his holiday home in Italy where he has bunkered down in recent months, after pocketing $30 million at PwC.
He did not respond directly to detailed questions about Ms O’Neill’s comments but pointed to a statement from earlier this week after the ATO released documents relating to claims the firm misused secret tax advice for profit.
The ATO documents stated that Mr Sayers was told to “read the emails” about the firm’s tax affairs in a face-to-face meeting, while he was warned in a second meeting to “keep abreast” of the issues.
Mr Sayers, who was also on the firm’s Governance board when he was chief executive, said: “I and other representatives of PwC met with the ATO to discuss a number of issues relating to aggressive tax practices, promoter penalties, and claims of Legal Professional Privilege on behalf of clients of PwC.
“I was involved in and oversaw a number of steps as a result of those discussions, seeking to address the ATO’s concerns.
“I did not personally review the tens of thousands of documents and emails which PwC provided to the ATO as part of these processes, nor do I recall that being suggested to me by the ATO.”
Mr Sayers took over the Blues from businessman Mark LoGiudice in 2021.
In one of his first moves, he met with Ross Lyon for 45 minutes where he had reportedly promised him the senior coaching job.
But he did not have the sign off from the board, with some members against the former Fremantle coach.
Lyon then pulled his name out of the race after the club announced it was running a formal process, leaving Mr Sayers red-faced.
Michael Voss was appointed Carlton coach, while Lyon turned up at the Saints a year later.
Mr Sayers was now expected to be hauled before a Senate Estimates committee to explain what he knew about what was happening at PwC.
PwC has been a key adviser to the Victorian government. The firm was called in to make a business case for Melbourne’s Suburban Rail Loop.
Mr Sayers set up his own company Sayers Group in 2020 that promised to set “a new and higher standard of doing business”, described as the “new quo”.
Originally published as Carlton president Luke Sayers under attack over PwC tax scandal on his watch
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