THE SHEPHERDSON INQUIRY AN INVESTIGATION INTO ELECTORAL FRAUD APRIL 2001 FOREWORD This report presents the results of the independent Inquiry by the Honourable Tom Farquhar Shepherdson, QC, into allegations of electoral fraud. The Inquiry was prompted when a member of the Australian Labor Party (ALP), Karen Lynn Ehrmann, made serious public allegations about the possibility of electoral fraud by members of the Queensland branch of the ALP. On 15 August 2000, the Criminal Justice Commission (CJC) initiated preliminary inquiries into Ehrmann’s allegations, including sending a team of investigators to Townsville to conduct interviews. On 22 August, Mr P D McMurdo, QC, was asked to advise the CJC on whether Ehrmann’s allegations raised a reasonable suspicion of official misconduct and whether open hearings should be held. Mr McMurdo advised that a reasonable suspicion of official misconduct did exist and that the CJC could hold public hearings; he also recommended terms of reference for such an Inquiry. His advice was delivered as a public report to Parliament in September 2000. The CJC accepted Mr McMurdo’s advice and, with the support of the Parliamentary Criminal Justice Committee (PCJC), engaged the services of Mr Shepherdson, an independent qualified legal practitioner, to conduct the Inquiry with Mr R V Hanson, QC, engaged as Counsel Assisting. Twice during the course of the investigation the terms of reference were extended by the CJC, again with the support of the PCJC, on the recommendation of Mr Shepherdson and Mr Hanson. On 17 April 2001, Mr Shepherdson handed the CJC his report. On 20 April 2001, the CJC resolved to adopt Mr Shepherdson’s report as a report of the CJC. The report sets out the evidence bearing on the terms of reference and addresses the question of whether there is sufficient evidence to refer any matter to an appropriate prosecuting authority for consideration. Mr Shepherdson has recommended that two matters be referred, and the CJC has resolved to adopt his recommendation. The terms of reference did not specifically include for consideration any recommendations for electoral reform. One of the reasons for this was that it was believed that any electoral reform was best addressed by a global consideration of all relevant issues and not conducted in a piecemeal fashion. The advice of Mr McMurdo highlighted that the provisions of the Criminal Justice Act 1989 do not empower the CJC to investigate electoral fraud per se. For the CJC to have jurisdiction there must be a relevant and sufficient connection between the conduct concerned and a particular appointment in a unit of public administration. In these circumstances it was considered that the Joint Standing Committee on Electoral Matters and the Legal Constitutional and Administrative Review Committee were better placed to make any general recommendations for reform of the electoral system. However, Mr Shepherdson has made a number of comments and observations on the perceived weaknesses in the present electoral system that have been exposed by the Inquiry. I hope these comments and observations will be of assistance to these two bodies and any other body that may be requested to look at the issue of electoral reform generally. The CJC is grateful for the efforts of Mr Shepherdson, Mr Hanson and the CJC officers who assisted them. The CJC is also grateful for the contribution of the Australian Federal Police, the Australian Electoral Commission and the Electoral Commission Queensland, without whose cooperation and assistance the investigation could not have been successfully conducted. I also wish to thank the Commonwealth Director of Public Prosecutions for its assistance in permitting the CJC to second for the duration of the Inquiry, Wendy Barber, one of its senior legal officers. Ms Barber had been involved in the prosecution and conviction of Ehrmann and two other ALP members and had invaluable background knowledge of those matters. The importance of this Inquiry can already be seen. The open hearings exposed to public scrutiny evidence of attacks on the integrity of the electoral roll — a public document fundamental to our system of democracy. Public debate followed. Electoral reform is now high on the agenda of the State and Commonwealth Governments. I trust the result will be an electoral system in which all members of the community can be confident. BRENDAN BUTLER SC Chairperson T HE SHEPHERDSON INQUIRY: AN INVESTIGATION INTO ELECTORAL FRAUD V CONTENTS Abbreviations ix List of players x Executive summary xii Chapter 1: Introduction 1 Events leading to this Inquiry 1 The terms of reference 3 Jurisdiction of the Criminal Justice Commission 4 A public hearing 8 Logistics of the investigation 9 Privilege against self-incrimination 9 Possible charges 10 Consensual false enrolments 11 Imposition 12 Conspiracy 13 Forgery and/or uttering 14 Perjury 16 Other allegations 16 Structure of the report 17 Chapter 2: Setting the scene 18 Conduct of postal ballots by the General Returning Officer of the ALP Queensland Branch 18 Eligibility to vote in a preselection ballot 22 Factions 23 The Electoral College 25 Ehrmann’s evidence 26 Ehrmann’s background 26 The 1996 Thuringowa plebiscite 27 Ehrmann implicates Lee Bermingham and Powell 27 Ehrmann and the AWU faction 31 Lee Bermingham’s response 34 Powell’s response 36 The alleged ALP ‘mole’ within the Australian Electoral Commission 37 Chapter 3: The 1996 plebiscite for the state electorate of Townsville 39 Background 39 Kehoe’s evidence against Mooney 40 The forgeries of Kehoe 40 Kehoe implicates Mooney in the forgeries 40 The need to assess Kehoe’s credibility and the test to be applied 43 Assessing Kehoe’s credibility 46 Conclusion 75 Evidence against Reynolds 77 Possible complicity in the false enrolments by Erhmann 78 Possible forgery associated with the use of the ballot papers of Pitts, O’Shea and Cox 82 Chapter 4: The 1996 Mundingburra by-election 88 Background 88 Ehrmann’s allegation that she was requested to witness electoral enrolment forms 88 VI T HE SHEPHERDSON INQUIRY: AN INVESTIGATION INTO ELECTORAL FRAUD The electoral enrolments of Robert and Enid Bradshaw and Bianca Hanns 89 The electoral enrolment of Craig Wallace 90 Ehrmann discusses the Mundingburra by-election with Joan Budd 91 The electoral enrolment of Kerrie-Ann Brown 91 The electoral enrolment of Udo Reeh 92 The electoral enrolment of Damien Lunney 94 General enquiries and conclusions 95 Chapter 5: The 1993 plebiscite for the Brisbane City Council ward of East Brisbane 97 Background 97 The evidence of Lindesay Gordon Bauer Jones 98 The evidence of Lee Michael Bermingham 99 The evidence of Warwick Powell 103 The responses of the persons implicated 103 Michael Kaiser 103 Grant Musgrove 104 Ashley Musgrove 105 Joseph Felice 105 Possible forged enrolments 105 Michael Riley 106 Gary Allen 106 Ashley Musgrove 107 Evidence of threats to, and rewards for compliant, university students 107 Shaun Albert Rohrlach 107 Marc Anthony Zande 108 Rodney Geoffrey Kenneth Mugford 109 Jamie Malcolm Lonsdale 109 Kevin Allen Court 110 Grant Steven Musgrove 111 Lee Bermingham’s response to the employment claims 111 Conclusion 114 Chapter 6: The 1993 plebiscite for the Brisbane City Council ward of Morningside 115 Background 115 The Investigation 115 Conclusion 116 Chapter 7: The 1986 plebiscite for the state electorate of South Brisbane 117 Background 117 Evidence of boasting of branch stacking 117 Consensual false enrolments 118 Forgery 121 Possible conspiracy charges against David Barbagallo 128 Submissions on behalf of David Barbagallo 128 Possible charges against Michael Kaiser 129 Possible conspiracy charges against James Boccabella and John Cherry 132 The enrolment of Paul Lucas 132 Chapter 8: Various plebiscites and possible plebiscites 134 A. The 1997 plebiscite for the state electorate of Springwood 134 Background 134 The Ronchi allegations 135 Other enrolments 136 Evidence of the Musgroves 138 Conclusion 139 B. The 1996 plebiscite for the Brisbane City Council ward of East Brisbane 140 T HE SHEPHERDSON INQUIRY: AN INVESTIGATION INTO ELECTORAL FRAUD VII Background 140 The conduct on behalf of the Labor Unity faction 141 The conduct on behalf of the AWU faction 141 The evidence of Warwick Powell concerning false enrolments 142 The evidence of Lee Bermingham concerning false enrolments 145 The evidence of Joseph Felice concerning false enrolments 146 The response of Gary Fenlon 147 The response of Michael Kaiser 147 Possible forgeries 149 The role of Catherine Bermingham 152 Conclusion 153 C. Possible plebiscites in the state electorate of Redlands 153 Background 153 The evidence of Joan Budd 153 Conclusion 156 Chapter 9: The Elder Family enrolments 157 Background 157 The evidence of James Elder 157 The evidence of Paul Tully 161 Conclusions 162 Chapter 10: Comments and general observations 163 The importance of the electoral system 164 Weaknesses in the present electoral system exposed at the Inquiry 165 The issue of proof of identity 167 The issue of proof of residency 167 The enhancement of plebiscite rules 168 A case for supervision of plebiscites by the Electoral Commission Queensland 168 Time limitations for offences 172 Code of conduct for MLAs and Councillors 175 Electoral agency 178 The English experience 178 Difficulties highlighted by this Inquiry 179 The LCARC interim report and ‘Ministerial Media Statements’ 21 January 2001 183 Attachments: Attachment 1: Witness List 185 Attachment 2: Exhibit 33B 187 Attachment 3: Exhibit 34B 188 Attachment