Vic department denies rorts scheme chat

A senior Victorian bureaucrat denies workshopping with Labor the party's rorts-for-votes scheme which is now the subject of a police investigation.

John Lenders

Former Victorian treasurer John Lenders was the architect of Labor's rorts-for-votes scheme. (AAP)

The head of Victoria's parliamentary services department has denied meeting with a senior Labor MP to "workshop" a party scheme that saw $388,000 of taxpayer funds misused for election campaigning.

Parliament's privileges committee and Victoria Police are both investigating the rorts-for-votes scandal, prompted by the state's ombudsman probe which labelled the scheme an "artifice".

Department of Parliamentary Services secretary Peter Lochert on Monday contradicted the evidence of former treasurer and scheme architect, John Lenders, that the two met and workshopped how Labor's staff pooling arrangement could be expanded.

"I wouldn't agree with that," Mr Lochert said.

While he could not recall a meeting with Mr Lenders, he also admitted "it doesn't mean it didn't happen," he added.

The Liberal-Nationals opposition has seized on Mr Lochert's evidence, ramping up demands not just for six ministers linked to the scheme to stand down, but for the government go into caretaker mode.

"The web of lies around the red shirt rorts continues to unravel every day," shadow attorney-general John Pesutto told reporters.

"It's really important that (Premier) Daniel Andrews consult with us and seek our consent particularly when the chief law officer of the state (Attorney-General Martin Pakula) is under a formal police investigation as with other ministers."

Mr Pakula says he will not be standing down and has not been contacted by police as part of the fraud squad investigation.

"Those calls are completely without foundation," he told reporters.

Police announced last month the fraud squad was investigating the scandal, casting a cloud over Labor ahead of the November 24 state election.

Mr Lochert also told the privileges committee police had made contact with his department shortly before he appeared to give evidence.

"They have requested no additional documents," he said.

An inquiry by Ombudsman Deborah Glass in March found the systematic misuse of taxpayer money by 21 past and present MPs in breach of parliamentary guidelines.

Staff employed as electorate officers were diverted to help campaign for other MPs and candidates.

Labor has since repaid the misused money and made similar allegations to police about the Liberal-Nationals.

Days after announcing its criminal investigation, police swooped on 17 former campaign staffers across Victoria, NSW and the Northern Territory, arresting them for questioning.

Charges have not been laid.


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Source: AAP


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