Shock findings from Integrity Commission investigation into TasTAFE senior executives Stephen Conway and Lori Hocking

EXPLOSIVE evidence that nepotism was rife at senior management level in TasTAFE has rocked the agency, stunned the local community.

TasTAFE CEO Stephen Conway resigned from the position the day before an Integrity Commission report into the organisation was tabled in State Parliament. Picture: SAM ROSEWARNE

EXPLOSIVE evidence that nepotism was rife at senior management level in TasTAFE has rocked the agency, stunned the local community, forced the resignation of chief executive Stephen Conway and seen his deputy take paid personal leave.

And it has left many questions unanswered.

The Integrity Commission investigation focused on chief executive Stephen Conway and his deputy Lori Hocking.

Both had previously worked together at a training organisation in South Australia and described each other as close friends.

The commission initiated the investigation after receiving a lengthy complaint in February last year — but much of the evidence cited in the report is from subsequent months.

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The pair were each found to have personally benefited from their association.

Ms Hocking nominated Mr Conway for the position of director of SA training organisation VETNetwork in 2014 while she was chief executive of that organisation. He was appointed to the role in June 2014.

Less than a year later, Mr Conway sought to entice Ms Hocking to accept a position at TasTAFE, where he had been chief executive since 2013.

Ms Hocking was nominated as the preferred candidate for the role by a selection panel, but declined the offer.

Mr Conway then offered Ms Hocking additional benefits if she took up the role.

These were nothing short of extraordinary and included an “inclusive relocation allowance” of $30,000, a 12-monthly vehicle allowance of $15,700, an annual allocation of $5000, and visits to Tasmania for her family before she began the role. One such visit cost TasTAFE $2093.

The benefits were offered despite many being outside of regulations, not to mention the existence of two other suitable candidates for the role.

Mr Conway made further promises to Ms Hocking following a job interview she attended with another organisation in Victoria in April last year.

The new concessions included return airfares to Adelaide once a month, an annual $6000 for accommodation costs, and “full support” in her application for the role — newly created by Mr Conway — of deputy chief executive.

In another staggering claim, the commission also uncovered evidence that Mr Conway and Ms Hocking backdated documentation after awarding an $18,000 contract to a friend, a former chair of the VETNetwork Australia Board.

The report says the pair approached their friend — who also was a referee on Ms Hocking’s CV — directly, rather than testing the market, as was required.

“In order to make it appear as though (this friend’s) skills had been tested before the procurement of his services, Mr Conway and Ms Hocking requested that he author a ‘letter of proposal’ outlining his capacity to undertake work for the project,” the report said.

The letter was requested more than a week after the friend had started work.

It was delivered to Ms Hocking on June 20 last year — but backdated to June 6.

“The evidence demonstrated that Mr Conway and Ms Hocking attempted to conceal the fact they had contracted with their friend improperly, through the creation of false and misleading documentation,” the report stated.

Ms Hocking was also found to have unfairly advantaged three candidates seeking employment with TasTAFE.

Premier Will Hodgman was notified of the investigation in March last year.

During the course of the investigation, commission officers met with Tasmania Police and the Director of Public Prosecutions, however a police spokeswoman indicated they had no further involvement with the matter.

The report identified widespread misuse of Tasmanian Government cards and suggested the behaviour was a “cultural issue” within the senior executive.

According to the report, several instances of corporate credit card misuse were identified.

The Government will establish an independent audit of TasTAFE recruitment and procurement processes, including a review of corporate credit card usage.

Mr Conway resigned from TasTAFE last Monday, the day before the report was tabled in State Parliament.

Ms Hocking is on leave.