Don Nardella entered “opportunistic” living arrangements: report

UPDATE:

Victoria Police could investigate Melton MP Don Nardella over allegations he rorted his taxpayer-funded allowances.

Police spokeswoman Leonie Johnson today confirmed “the matter will be allocated to an investigator for assessment”.

It follows a Parliamentary audit report yesterday which slammed Mr Nardella for his claiming of a second residence allowance, describing his living arrangements as “opportunistic”.

Mr Nardella declined to comment.

The audit report is expected to be released tomorrow.

EARLIER:

Melton MP Don Nardella entered into an “opportunistic” arrangement with family members to live in Ocean Grove in a bid to “enjoy” a second residence allowance, the Parliament was told. 

A parliamentary audit committee investigating claims made by the former deputy speaker and speaker Telmo Languiller described Mr Nardella’s living arrangements as “non-prudent, non-arm’s length and potentially non-commercial”.

Committee president Bruce Atkinson told Parliament Mr Nardella entered in an “informal” arrangement with family members to live at an Ocean Grove property, where he would make fortnightly payments of $200.

No formal lease arrangements were made nor were payments made for utility bills. However, there is “some” evidence, Mr Nardella paid for items such as blinds, security screens and hot water systems.

Mr Nardella told the committee the utility bills were incorporated into the fortnightly $200 payment.

Mr Atkinson said Mr Nardella notified the clerk of Parliament about his move to Ocean Grove in April, 2014 following a relationship breakdown, changed his address on his driver’s licence and on the electoral roll.

Mr Nardella told the committee he had attended local Labor Party meetings and spent time in Ocean Grove, but not could not provide a driver’s log as he did not use a parliamentary vehicle.

“The location of the home-base [at Ocean Grove] appeared to have no long-term connection to the member and it is difficult to argue convincingly that he intended this to be a long-term permanent principal resident,” Mr Atkinson said.

“The audit committee agreed that when viewed in terms of a reasonable person’s test, a position could be taken that the arrangement entered into by the member’s family was to ensure the member would receive the second residence allowance.

“The arrangement made can be construed as non-prudent, non-arms length and potentially non-commercial, and arguably opportunistic to ensure continued enjoyment of the second residence allowance.”

The committee hasn’t recommended any action, with the audit still continuing. But Mr Atkinson said MPs claiming for the properties outside the electorate they represent did not constitute a breach of regulation.