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Police to probe alleged Vic Liberal fraud

The Liberal Party has been dealt a devastating blow after allegations former Victorian state director Damien Mantach embezzled up to $1.5 million worth of party funds.

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The Victorian Liberal party says its accounts show a number of unauthorised transactions associated with Mr Mantach took place between 2010 and 2014 and that the matter has now been referred to police.

“Mr Mantach had in 2008 a liability for personal expenses to the Tasmanian division totalling $47,981.78, which was fully repaid by Mr Mantach to the division upon his departure in March of that year, ‘ Mr Page said in a post on the Tasmanian Liberals” Facebook page.

Internal investigations revealed irregularities that have now been turned over to police by the state administrative committee.

According to a speech on the issue during Thursday night’s Senate adjournment debate – under the cover of parliamentary privilege – the Labor senator Glenn Sterle questioned whether Loughnane – and possibly also the Liberals’ Senate leader, Eric Abetz – knew about the dispute involving Mantach during his time with the Tasmanian party, before he was appointed in Victoria.

“It is understood Mr Loughnane was part of the selection panel that appointed Mr Mantach to the position of director of the Liberal party of Victoria”.

The party will try to recover some of the money which is being held in assets. “The party is furious, we want our money back, we want this matter sent to the police, and we will be doing everything we can to ensure that justice is done”, he said.

“The ability of the party to continue to operate and fund its campaigns has not been compromised”, a party statement said.

Secret taped conversations between Mr Mantach and chief of staff Tony Nutt surface. He became the state director of the Victorian branch in the year 2011.

‘We feel profoundly betrayed and terribly disappointed with what’s happened, ‘ he said.

The current state branch president Michael Kroger said Mr Mantach had made admissions and it appeared he was the only one involved.

“We’re not aware that anyone at the party head office or any officials had any involvement at all”, he said. He is a person of integrity. So let’s see where this investigation goes.

The mother-in-law of Mr Mantach, 44, echoed her daughter’s remarks.

“Reports suggest that senior figures with knowledge of alleged questionable conduct by Mr Mantach in Tasmania include Liberal party federal director Mr Brian Loughnane”, Sterle said.

Victoria Police have launched an investigation.

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Nor would Mr Archer comment, claiming he was no longer authorised to speak on behalf of the Liberal party.

Police are continuing to investigate claims Liberal official Damien Mantach embezzled $15 million