Lee Rhiannon (NSW, Australian Greens) Share this | Hansard source

Thank you, Mr Acting Deputy President, for your advice. Remember who we are talking about here: the man who provided the solid foundation the Howard government relied on; the 'steady hand' of the federal Liberal Party for much of the 1990s. He was the man who would have handled so many responsibilities when he headed up the former Prime Minister's office. It is hard to believe anything escaped his attention or that he would forget.

What Senator Sinodinos has forgotten is substantial. A significant amount of $700,000 was moved by the Free Enterprise Foundation to the New South Wales Liberals. Much of this money came from sources that, under New South Wales law, could not donate to a political party or a candidate for a New South Wales state election. There is another Liberal funding body, the Eightbyfive Scheme, which raised about $400,000. Some of this money, which came from developers, went to the New South Wales Liberals for their 2011 election campaign. Senator Sinodinos has said he had no idea about these funding arrangements and did not agree to the funnelling arrangements.

The ICAC hearings have already revealed a systemic failure within the Liberal and its fundraising arms. This failure leads to, and rewards, corrupt activities. With the ICAC report due to be released in December, possibly just before Christmas, the Prime Minister could use this slow media period to try to sidestep the ICAC scandal enveloping Australian politics. The Prime Minister could remove the perception of avoiding the problems ICAC hearings have created for his party by taking action now. It is time to shut down the Free Enterprise Foundation and Eightbyfive. Mr Watson, the counsel assisting ICAC, has stated that the Free Enterprise Foundation has been used to disguise donations from prohibited donors. This alone should be a good reason for the Prime Minister to instruct his party to shut down this secretive fundraising body. Senator Sinodinos should not be reappointed as the minister. Bringing the former finance minister back into the fold will display weakness and will draw the federal Liberals and the Prime Minister into the reach of the New South Wales ICAC. Now is the time for the Prime Minister to announce a national ICAC.