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Labor union slush fund lands in court

A sacked Queensland union official has told the federal court he was sacked in retaliation to blowing the whistle on an illegal slush fund.

One of Australia's largest unions has been accused of running an illegal slush fund to bankroll a Labor faction.

Former official Brenden Sheehan has taken the Australian Services Union and several of its senior officials to court, arguing its Queensland branch has been forcing employees to contribute to a slush fund disguised as a social fund.

He appeared briefly in the Federal Magistrates Court in Brisbane on Wednesday, claiming the union unfairly dismissed him in May because he blew the whistle on the fund.

"I haven't just been sacked; my name has also been blackened," Mr Sheehan told AAP outside court.

"I haven't been able to get a job since."

He said this was despite having a 15-year union career, including in senior union positions in Australia and New Zealand.

Mr Sheehan claims union employees were required to contribute one per cent of their salaries into the Happy Wanderers Club as a condition of their employment.

"It's a sham. The money is used instead to finance candidates in the union's elections all of whom hold senior positions with the ALP," he told AAP.

"We were forced to contribute to it, which is highly illegal."

He alleges the fund was set up in 2002.

Mr Sheehan, 44, also told the court he wants a freeze on the fund, which he estimated to be holding about $180,000.

He is seeking more than $1 million in compensation for being unfairly dismissed.

"Most unions are honest. This is the first time I've come across something like this," he said.

The matter has been adjourned until Monday.


2 min read

Published

Updated

Source: AAP


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