Craig Thomson faces financial penalties for misusing HSU members' money
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Version 0 of 1. The disgraced former union leader Craig Thomson is facing financial penalties after the federal court ruled paid for escorts and political campaign activities with Health Services Union money. The Fair Work Commission sued Thomson, seeking penalties and for compensation to be paid to the HSU, for transactions he charged to the union between 2003 and 2007. On Friday, Justice Christopher Jessup found Thomson improperly used HSU money during his time as secretary. Thomson did not defend himself against the workplace relations tribunal’s claim. In March, he left the court and did not return after Justice Jessup dismissed his application to have the matter thrown out on the grounds he was mentally unfit. Related: Craig Thomson says his mental health is too fragile to face Fair Work lawsuit On Friday, Justice Jessup published a ruling in which he found Thomson had used union money for his own benefit. Starting on 7 April 2005, Thomson used HSU credit cards to pay for a string of escorts in breach of the Workplace Relations Act. Justice Jessup said he was not persuaded transactions relating to an escort visit in April 2005 were in keeping with Thomson’s duties as HSU national secretary. He found further spending on sex workers in May 2005, June 2005 and September 2006 was also in breach. A June 2005 job sheet for a Sydney brothel indicates about an hour and a half in the “Red Turbo Spa Room” was paid for by the Health Services Union. Thomson told union staff to record the spending as “meeting expenses”. In September 2005, Thomson charged $3575 for food, flights and travel to the HSU, which Justice Jessup said was also a breach, as it appeared Thomson was spending the time house hunting. It was around this time Thomson is believed to have relocated the HSU national office from Melbourne to Sydney. “From the evidence, it is unclear whether anyone other than the respondent himself ever worked from this office,” Justice Jessup said. Between 2006 and 2007 Thomson was heavily involved in the community in the federal seat of Dobell and was endorsed as the ALP candidate in April 2007. Criselee Stevens, an employee at the HSU national office, began working on Thomson’s campaign exclusively after he opened his campaign office in April 2007 but remained on the HSU payroll. For the most part she was occupied doing Thomson’s bidding, Justice Jessup said. “To use the services of Ms Stevens for his own purposes was the clearest of improprieties on the respondent’s part,” Justice Jessup said. “It was no different from the manager of a construction company, for example, using the services of a carpenter employed by the company to carry out renovations on his or her domestic premises.” HSU media officer Matthew Burke resigned from the union in March 2007 to work for a senator but was asked by Thomson to continue to help his campaign as a volunteer. Thomson gave Burke an HSU credit card and instructed him to use it for costs, such as petrol. Between March and December 2007, Burke spent $10,120 on such expenses. This was a very clear contravention, Justice Jessup said. |