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The Guardian - AU
The Guardian - AU
National
Ben Smee

What’s driving reports of an ‘integrity crisis’ in Queensland?

Queensland Premier Annastacia Palaszczuk is seen during a press conference at Eight Mile Plains in Brisbane, Monday, February 14, 2022
Annastacia Palaszczuk told reporters on Sunday she ‘never, never, never’ wanted Stepanov to resign from her role as integrity commissioner. Photograph: Darren England/AAP

For two straight days, the Queensland premier, Annastacia Palaszczuk, has fronted reporters to fend off questions after being drawn in to a slow-burning public service integrity saga.

The complex story involves the removal and alleged wiping of an Integrity Commission employee’s laptop, amid questions over how to ensure the independence of the body charged with regulating lobbying in Queensland.

The situation, which is largely separate from recent issues with the state’s Crime and Corruption Commission (CCC), has blossomed into what the state opposition and some media outlets are calling an “integrity crisis”. And now Palaszczuk is in their sights.

What is the central allegation?

Last month the state’s integrity commissioner, Dr Nikola Stepanov, announced her resignation amid complaints about interference in her office by the Queensland Public Service Commission (PSC).

The integrity commissioner is an independent statutory office, whose responsibility is to advise MPs and public servants on ethics matters, and to regulate lobbying activities. The PSC – which is a central government agency assisting departments with managing their workforce – controls the integrity commissioner’s budget and staff.

Stepanov raised concerns last year about interference in her office by the PSC, and complained thatthe PSC had gradually stripped her of resources and key staff.

The Courier-Mail reported that in late 2020 Stepanov also raised concerns about the way an employee in her office had handled confidential documents. She requested a forensic examination of the employee’s laptop.

In March 2021, the PSC removed and allegedly wiped the contents of a laptop.

The CCC is currently investigating a complaint related to the deletion of files from the laptop.

What was on the laptop?

The Australian has claimed in a report that while Stepanov was unable to comment on what material was on the laptop “given the contents were subsequently deleted without my knowledge or consent”, the laptop contained documents relating to former Labor lord mayor of Brisbane, Jim Soorley and that, at the time, Stepanov was delving into a complaint that he had been involved in unlawful lobbying.

Guardian Australia has been unable to independently verify those claims and understands that Soorley denies the allegations.

How does the premier fit in?

In April last year, Stepanov met with the former Department of Premier and Cabinet director-general Dave Stewart to raise concerns about interference by the PSC and the seizure of the laptop. Stewart agreed to commission an investigation.

On Sunday it was revealed that about two weeks after this meeting, Palaszczuk referred historic complaints about Stepanov’s own conduct to a parliamentary committee that has oversight of her office.

Those complaints were initially made in January 2019 and previously dismissed by the CCC.

Is there any evidence the referral was improper?

No, though the timing of the referral has certainly amped up the “integrity crisis” rhetoric that has dominated political debate in Queensland in recent weeks.

“Stepanov Affair explodes at the top of Queensland corridors of power,” read the front page of the Sunday Mail this week.

Stepanov told the Australian the timing of the referral was “of great interest to me, particularly in light of the fact I had raised formal concerns about conduct I was suspicious of through to the Public Service Commission in late 2020”.

“I was dissatisfied with how those concerns were handled by the PSC and I escalated the matter to the Department of Premier and Cabinet.”

It is unclear who brought the matter to Palaszczuk. She says she sought the advice of the solicitor general and was legally required to refer the matter to the committee, regardless of the seriousness.

“I can’t discuss who made the complaint,” Palaszczuk said on Monday.

“I pride myself in acting in accordance with the law and discharging my legal obligations according to that.

“I have absolutely discharged my obligation that I was required to do.”

Palaszczuk told reporters on Sunday she “never, never, never” wanted Stepanov to resign.

What happens now?

The CCC investigation into the alleged deletion of documents from the laptop is ongoing, and for the moment, that process provides some cover to calls for a more broad-ranging inquiry.

Guardian Australia understands the fundamental issue raised by Stepanov is not that she believed direct political interference had occurred, but that interference in her office was part of a broader culture of opposing activities that might undermine public confidence in agencies or reflect poorly on governments.

Key questions remain about the PSC’s effective defunding and alleged interference in the integrity commissioner’s office, which is supposed to be independent.

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