Five things to know about Operation Richmond

On Wednesday morning, Victoria’s Independent Broad-based Anti-corruption Commission (IBAC) handed down its report into Operation Richmond – an eight-year investigation into dealings between the state government under former premier Daniel Andrews and the United Firefighters Union boss, Peter Marshall.

Here’s what you need to know.

What are the Operation Richmond findings?

IBAC found that Victorian Labor ministers, MPs and public servants engaged in what it called “serious and concerning conduct”. It did not, however, find that there had been corrupt conduct.

IBAC identified serious problems in how the Andrews government struck pay deals with the Country Fire Authority (CFA) and the Metropolitan Fire Brigade (MFB), alongside the creation of Fire Rescue Victoria (FRV).

The commission found senior members of the government negotiated the CFA’s enterprise bargaining agreement (EBA) with Marshall without the knowledge of the responsible minister, agencies and department.

This backroom deal was contrary to the “established polices, procedures, codes of conduct and conventions”, and saw the government place Marshall in a position where he could exert “extraordinary influence” over the EBAs of both the CFA and MFB.

“IBAC also found that Mr Marshall was afforded privileged access to senior members of government which, in many cases, were not disclosed and were to the exclusion of other key stakeholders,” the report said.

“Operation Richmond highlights how government leaders, including ministers and the premier, can undermine established checks and balances when they fail to model high integrity standards and act as stewards of good governance.”

Is Daniel Andrews implicated?

Yes. While IBAC did not find any individuals “engaged in corrupt conduct as defined by the IBAC Act”, it did find that “serious and concerning conduct by senior public officers, including ministers and members of parliament”, which includes the former premier.

As premier, Andrews authorised the then-special minister of state Gavin Jennings and Tony Bates, a deputy secretary from the Department of Premier and Cabinet (DPC), to start secret negotiations with the UFU Victoria over a new EBA for the CFA. When a deal was struck, Jennings texted Andrews: “Handshake has occurred – it’s done!”

Peter Marshall later described the EBA as “negotiated with f—in’ Jennings in a back room. It was endorsed by f—in’ Andrews and cabinet”.

In its report, IBAC said it found the actions of the premier, Jennings and Bates over this period were “contrary to government policy, procedures, convention and their respective codes of conduct”.

Which other ministers and MPs are implicated?

Gavin Jennings, who served as the special minister of state between 2014 and 2020, was central to negotiating the secret deal.

“The failure to disclose Minister Jennings’ negotiations with the UFU to the responsible agencies, parliament and the public meant that no one was in a position to properly hold the government to account for the way in which the fire services EBAs were negotiated and finalised,” IBAC found.

Lisa Neville, who was sworn in as minister for police and emergency services in 2018, is also implicated.

In 2019, during negotiations for the passage of legislation backed by Marshall, she received a phone call from the UFU boss, who told her he’d secured the crucial support of a crossbench MP by offering to employ their relative.

In a recording of the intercepted call, the two can be heard joking about the matter.

Marshall: “It was a considered deliberation between … the skills subcommittee of our branch committee for the board and a recommendation to the board, mate, so … and it was on merit too, ’cause there was two other applicants [laugh] … Do you believe a word I just said? [laugh]”

Neville: “Yeah, I absolutely believe everything, I do, I do. For anyone listening in, I believe – 100 per cent believe that [laugh].”

What has been the reaction?

UFU boss Peter Marshall said he felt IBAC had invaded his privacy and not allowed him a fair say during the investigation.

Marshall said on Wednesday the commission had “written a story that is not correct”, and claimed he had been “compulsorily coercively examined” during IBAC’s investigation but was denied procedural fairness.

Marshall also said IBAC used intrusive powers to access phone conversations.

“We all have conversations on our phones, and some of those conversations can be colourful at times, and we’re only human,” he told 3AW. “But they’re private conversations.”

Asked if he had struck a backroom deal with Andrews, Jennings and Bates, Marshall said his job as union secretary was to negotiate on behalf of his members.

“We’ve done nothing wrong here,” he said. “IBAC went looking for something that simply was not there.”

Commissioner Victoria Elliot said the findings were serious because the public needs to have confidence in the “integrity and processes” of government in negotiating EBAs.

“The responsible minister, relevant cabinet ministers, the CFA, other senior stakeholders, and public officials were not aware of this backroom deal,” Elliot told ABC Radio on Wednesday.

“It’s important there’s transparency, it’s important there’s accountability, so there is effective decision-making, and the process occurs.”

Premier Ben Carroll said on Wednesday morning he had not yet read the report due to prior commitments.

“I’m going to read the report carefully. I’m going to study it and give the Victorians the action and the answers they deserve,” he said.

The premier also said the abuse of government processes laid bare in the report was intolerable and unacceptable behaviour.

What happens now?

The premier said his government would adopt all three of the recommendations made by IBAC. This includes the introduction of legislation to establish a statement of values for ministers; the publication of a ministerial handbook for parliamentarians and their staff, and training for ministers that includes guidance on navigating relationships with lobbyists and interest groups.

Read more on Operation Richmond:

Damning report: A previous report exposed the influence of Peter Marshall and the firefighters’ union.