Allegations of misuse of public funds at Darwin Waterfront referred to Public Accounts Committee

The Darwin Waterfront Corporation says it welcomes the chance to clear up allegations of the misuse of public funds and conflicts of interest, after Labor referred it for inquiry.

The Darwin Waterfront Corporation is a government body responsible for developing and managing the lifestyle precinct.

Darwin Waterfront Corporation has “welcomed” its referral to a parliamentary inquiry as a chance to clear up allegations it “categorically denies”.

Despite not taking up an offer of a briefing from the Corporation days earlier, Territory Labor referred allegations of the misuse of public funds and potential mismanagement of conflicts of interest at the DWC to the Public Accounts Committee on Wednesday.

The unproven claims surfaced in the NT Independent last month, and centred around appointments made and wages paid to senior staff, including the Chief Minister’s husband, deputy chief executive Sam Burke.

Opposition Leader Selena Uibo tabled a string of articles from the NT Independent, which when in power her government banned from media events and labelled a ‘blog’, to support her reason for reporting the matter to the committee.

Ms Uibo told parliament she felt “compelled” to make her referral as a matter of “public trust and integrity”, defending the timing and the source of the allegations.

Leader of the Opposition Selena Uibo. Picture: Pema Tamang Pakhrin

“The point is, Territorians have come directly to me and my colleagues about the concerns around the Darwin Waterfront Corporation. There are questions that remain unanswered, and as the Opposition, we would not be doing our job if we did not put this to the Public Accounts Committee to get those answers,” Ms Uibo said.

“I acknowledge that much of this allegedly occurred under the former Labor government, but that does not, and it will not, deter me from demanding accountability because this is not about party lines, it is about public trust.

“These allegations suggest abuse of public resources, nepotism, favouritism, mismanaged conflicts of interest and possible financial misconduct, and more importantly these questions demand answers.”

Crossbencher Justine Davis has also supported an independent inquiry into the allegations – calls rejected by the CLP government.

Tourism and Hospitality Minister Marie-Clare Boothby defended her inaction, saying there was “no substance” to the claims.

“I do take all allegations concerning government agencies seriously – I take it seriously when there is substance,” she said during Question Time last week,” she said.

“Not all online claims have substance.”

Northern Territory Attorney-General Marie-Clare Boothby. Picture: Fia Walsh.

Ms Boothby told parliament she went to the chief executive of the Chief Minister’s department and the chief executive of the Waterfront, who consulted with the Waterfront Board.

“Based on this process I am satisfied that those allegations do not warrant any further investigation,” she said.

Ms Uibo detailed the allegations in parliament late on Wednesday, including the “alleged creation of a made-up, part-time job for Mr Sam Burke – reportedly unadvertised and resulting in a $60,000 salary increase via a ‘temporary’ higher duties allowance”.

“That higher duties allowance allegedly continued for up to six years – long after the temporary role ended,” she said.

“There are reports of public service rules being repeatedly breached – with roles not advertised, promotions bypassing merits-based reviews, and job evaluation processes ignored for the benefit of certain individuals.

“There have also been claims of funds being moved between the Darwin Waterfront Corporation and the AustralAsia Railway Corporation — both taxpayer-funded entities — to support Mr Burke’s salary.

“It has been further alleged that a memo outlines how the DWC would ‘recoup’ salary costs from AARC, raising concerns of potential fraud and gross conflicts of interest.”

Darwin Waterfront. Picture: Pema Tamang Pakhrin

In a statement the Waterfront Board said it invited Ms Uibo to a briefing on the allegations last week and was “disappointed that this offer was not acknowledged”.

“The Darwin Waterfront Corporation categorically denies any wrongdoing and welcomes the opportunity to respond to any matters raised by participating in any inquiry,” it said.

“Since its inception, the DWC has been, and continues to be, subject to annual audits by the NT Auditor General.

“These audits, conducted in accordance with the relevant NT laws and with reference to the Commonwealth Corporations Law, have consistently found no evidence to support any finding of financial or governance misconduct.”

The Board said it operated with transparency and integrity, applying high standards of governance.

Minister Bill Yan. Picture: Pema Tamang Pakhrin

Ms Uibo’s referral saw temperatures rise in the chamber – Treasurer Bill Yan was furious in condemning what he characterised as a personal attack by Labor.

“The way that the Leader of the Opposition went after the Chief Minister’s husband is disgraceful,” he told parliament.

“It is like just because he is good at his job he should not have his job, and he should not be paid well.

“That is abhorrent, and I will not tolerate it … we do not talk about our spouses or our partners or go after each other’s spouses or partners in this parliament because that is not what we do – we are above that.”

He said the CLP could have spoken about Ms Uibo’s husband, whose “work area was investigated”, but “we did not because we have a little more pride and scruples on this side of the house”.

Greens member Kat McNamara said she “could not believe” Mr Yan’s “hypocrisy”, and that she had suffered multiple personal attacks on herself and her husband from CLP members.

In a statement the NT Greens said it would always support strong measures to improve accountability and transparency in the use of taxpayer funds.

The CLP does not have to accept Labor’s referral to the Public Accounts Committee.

Originally published as Allegations of misuse of public funds at Darwin Waterfront referred to Public Accounts Committee