A series of Labor powerbrokers, including former premier Anna Bligh, could be called to front a Commission of Inquiry into the operation of Queensland's racing industry. Source: The Courier-Mail
QUEENSLAND'S racing industry will be investigated by a Commission of Inquiry that is expected to call on a group of former Labor powerbrokers, including ex-premier Anna Bligh.
Premier Campbell Newman told reporters this morning at Parliament House he supports the inquiry.
"We continue to see these allegations of misspending of tax-payer funds and we also hear stories in the media about a failure of process in giving contracts, and there have been many complaints that have directly been made to members of government," he said.
However, he did not indicate who he thinks should be called before the inquiry, saying it was a matter for the Commission of Audit to decide should they agree to establish one today.
"It remains to be seen what happens," he said.
Attorney-General Jarrod Bleijie will today formally recommend the inquiry to Cabinet following a series of stories in The Courier-Mail raising questions about decisions worth more than $200 million taken within the racing industry.
The newspaper's stories have focused on the former Racing Queensland Limited regime led by chairman Bob Bentley and a board of directors including Labor powerbroker Bill Ludwig. RQL reported to a series of ministers over the reign of the Beattie and Bligh governments.
Mr Bleijie said the Newman Government had also received numerous allegations.
Former Queensland Racing director Bill Andrews is calling for a judicial inquiry into the industry. Picture: Adam Smith
"The Newman Government has been inundated with allegations in the past few weeks that have convinced me a full inquiry into the industry is necessary," Mr Bleijie said.
"I am concerned taxpayers' and racing industry money may have been squandered by the previous racing administration under the Labor Government. I am concerned about the lack of appropriate processes in awarding contracts in the racing industry.
"For example, there are allegations one company was awarded 37 contracts, of which only one went to tender."
The wide-ranging inquiry is expected to examine RQL's actions and the interaction with relevant Cabinet ministers during a series of controversial decisions including:
- A $20 million transfer of taxpayer funds to RQL's infrastructure trust account in the final days before the dying Labor government went into caretaker mode.
- Funding deeds between RQL and the Government for more than $60 million of works in key Labor electorates in the month before the 2012 election.
- RQL's award of more than 30 contacts to Sunshine Coast engineering firm Contour Consulting, most without a tender. RQL has said they were awarded because Contour was a preferred, specialist contractor.
- Contractual payouts given to senior staff who resigned within days of the 2012 election. Two of those staff immediately went to jobs at Contour Consulting.
- The decision by Queensland Race Product Co - a non-profit subsidiary of RQL - to authorise almost $100 million worth of deductions for agency costs by gaming giant Tatts Group, against subsequent RQL legal advice.
Former RQL director Bill Andrews last week called for an inquiry, labelling the Product Co decision a "disgrace" that involved a "hell of a lot of money".
Racing Minister Steve Dickson said he strongly supports the inquiry, which is expected to include cross examinations under oath of key figures within the industry and the former government.
This could include any conversations or direction given by Anna Bligh about the industry in her role as premier.
"The racing industry is vital to the Queensland economy; we need to know what has gone on under the former Government and former industry bosses," Mr Dickson said.
"Questions need to be answered, allegations need to be brought to light."
He said the government has worked hard to clean up racing in Queensland and wanted an industry the state could be proud of - one that was open, transparent and accountable.
"The integrity of Queensland's 30,000 strong racing industry is paramount," he said. "This inquiry is about ensuring the longevity of the racing industry and ensuring it is an industry Queenslanders can trust."
Further details including sitting dates and who will head the inquiry are expected to be announced in the weeks ahead.
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