HSU report publicly released

A senate committee has published the Fair Work Australia report into the national office of the Health Services Union (HSU).

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(AAP)

A senate committee has published the Fair Work Australia (FWA) report into the national office of the Health Services Union (HSU).

In a four-page statement about an 1,100 page report, Fair Work's general manager Bernadette O'Neill says the allegations involve two current officials, a former auditor and one former official.

She says most relate to the former official. 'Substantial funds were spent inappropriately,' she say, 'including on escort services, spousal travel and excessive travel and hospitality.'

She declined to name anyone - but late today, a Senate committee published the report under parliamentary privilege.

It accuses current HSU secretary Kathy Jackson of one rule breach and national president Mike Williamson of five - both have denied any wrongdoing. But most allegations are levelled at Craig Thomson.

The report says Craig Thomson spent a quarter of a million dollars of HSU funds, used a union credit card to pay for escort services and used union funds on his election campaign for his seat in Parliament.

Mr Thomson has denied all allegations. But the report suggestions he may have given false and misleading evidence. In a statement issued earlier today, Craig Thomson says "I maintain my innocence and deny any wrongdoing."

"Any proceedings brought against me... will be strenuously defended"

He calls the investigation "nothing short of a joke". The Government is vowing to change the law to make officials more accountable.

FWA general manager Bernadette O'Neill this afternoon forwarded the report to a senate committee, which has in turn released it.

An administrator could be appointed to the Health Services Union (HSU) East branch as early as next week if special NSW legislation comes through.

The laws would overcome potential legal hurdles in the Federal Court, the state's finance minister Greg Pearce says.

Federal Workplace Relations Minister Bill Shorten has applied in the Federal Court for an application seeking a declaration that the HSU East branch had "ceased to function effectively" and be put into administration.

However, in a hearing on Thursday, doubts were raised about the Federal Court's jurisdiction to make orders relating to a state union.

Mr Pearce said if the government would push the legislation through parliament next week, and if passed, an administrator could be appointed next week.

"We will be introducing legislation next week to enable the appointment of administrator to the NSW assets, and the NSW management," Mr Pearce told reporters in Sydney on Friday.

"That administrator will be charged with having a new election as soon as it can occur.

"The main point is that the administrator in NSW will secure the assets, so there will be no more hanky panky, and the NSW administrator will ensure that the members are looked after, and their interests are considered."

Mr Pearce said even if the federal action proceeded it would take too long to see an administrator appointed to the union.

"One of the problems with the federal action ... is it's not even set down for hearing until the 5th of June - so it is a month away before they are going to do anything," Mr Pearce said.


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