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MPs use legal loophole to hide donation money trail
Thursday 23 April 2009
Greens MP Lee Rhiannon said today that Labor in NSW is now avoiding scrutiny on political donations it receives by using the Liberal Party's tactic of funnelling all donations through the Party's head office.
(See Sydney Morning Herald, 22 April 2009, pg 5).
"All Labor MPs now state that they have received no political donations. This means there is no paper trail linking corporate donors with fundraisers, or with individual MPs, that helps shine a light on cosy deal making", Ms Rhiannon said.
"Embarrassing political donations stories that broke last year associating Newcastle MP Jodi McKay with the local developer Buildev and Illawarra MPs Matt Brown and Noreen Hay troubles with the Wollongong Council scandal could not happen under this new system.
"The new electoral law means it is impossible to work out who is donating to individual MPs. It is now legal for MPs to say they received no donations and that all their fund raising money went to their partys head office.
"Major Labor fundraisers Paul Gibson, Matt Brown and Noreen Hay in the latest disclosures to the Election Funding Authority have stated that they received no donations.
"In the 2007 EFA returns Mr Gibson revealed he raised $336,355, Mr Brown $221,647 and Ms Hal $231,232.
"Labor's new disclosure system of funnelling donations received at the local level through the head office has not removed a conflict of interest for state MPs, but it has hidden the money trail.
"Candidates from both parties now fill out forms that make out they have received no money from fundraising even though that is what they spend much of their time doing in the lead up to an election.
"In the lead up to the 2007 election NSW Labor MPs disclosed $3.3 million from their electorate based fundraising. Under the new system these same MPs funnel money from their fundraising through Labors head office so they can make out they have nothing to do with political donations.
"This latest donation data reveals that Labor and the Liberals are scamming the public on being more transparent about their fundraising efforts", said Ms Rhiannon.
For more information: 9230 3551, 0427 861 568
* Source www.democracy4sale.orgtaking data from the NSW Election Funding Authority
"All Labor MPs now state that they have received no political donations. This means there is no paper trail linking corporate donors with fundraisers, or with individual MPs, that helps shine a light on cosy deal making", Ms Rhiannon said.
"Embarrassing political donations stories that broke last year associating Newcastle MP Jodi McKay with the local developer Buildev and Illawarra MPs Matt Brown and Noreen Hay troubles with the Wollongong Council scandal could not happen under this new system.
"The new electoral law means it is impossible to work out who is donating to individual MPs. It is now legal for MPs to say they received no donations and that all their fund raising money went to their partys head office.
"Major Labor fundraisers Paul Gibson, Matt Brown and Noreen Hay in the latest disclosures to the Election Funding Authority have stated that they received no donations.
"In the 2007 EFA returns Mr Gibson revealed he raised $336,355, Mr Brown $221,647 and Ms Hal $231,232.
"Labor's new disclosure system of funnelling donations received at the local level through the head office has not removed a conflict of interest for state MPs, but it has hidden the money trail.
"Candidates from both parties now fill out forms that make out they have received no money from fundraising even though that is what they spend much of their time doing in the lead up to an election.
"In the lead up to the 2007 election NSW Labor MPs disclosed $3.3 million from their electorate based fundraising. Under the new system these same MPs funnel money from their fundraising through Labors head office so they can make out they have nothing to do with political donations.
"This latest donation data reveals that Labor and the Liberals are scamming the public on being more transparent about their fundraising efforts", said Ms Rhiannon.
For more information: 9230 3551, 0427 861 568
* Source www.democracy4sale.orgtaking data from the NSW Election Funding Authority
