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| Turnbull should keep tight rein on use of donations, says Liberal elder | |
| (35 minutes later) | |
| The Liberal party needs to keep a closer eye on how money from donors is used, and Malcolm Turnbull is the person who can enact those reforms, a party elder and former confidant of Tony Abbott has said. | |
| Related: Brian Loughnane to step down as director of Liberal party – reports | Related: Brian Loughnane to step down as director of Liberal party – reports |
| Phil Higginson, the former Liberal party treasurer, told ABC radio: “There needs to be better financial governance, there needs to be better organisational governance so that we can look our donors in the face, our voters in the face, the members of our party in the face ... I know the new prime minister understands this a whole lot better than the previous prime minister.” | Phil Higginson, the former Liberal party treasurer, told ABC radio: “There needs to be better financial governance, there needs to be better organisational governance so that we can look our donors in the face, our voters in the face, the members of our party in the face ... I know the new prime minister understands this a whole lot better than the previous prime minister.” |
| In February Higginson wrote a scathing assessment of the governance of the federal Liberal party and the influence of the relationship between the federal director, Brian Loughnane and his wife, Abbott’s chief of staff, Peta Credlin. | In February Higginson wrote a scathing assessment of the governance of the federal Liberal party and the influence of the relationship between the federal director, Brian Loughnane and his wife, Abbott’s chief of staff, Peta Credlin. |
| In leaked emails to the federal council, published just days after Abbott survived the first challenge to his prime ministership, Higginson said the nexus between the power couple was a “conflict of interest”. | In leaked emails to the federal council, published just days after Abbott survived the first challenge to his prime ministership, Higginson said the nexus between the power couple was a “conflict of interest”. |
| On Thursday, Higginson stood by his comments, saying the alleged misuse of party money by former Victorian state director, Damien Mantach, proved reform was needed. | On Thursday, Higginson stood by his comments, saying the alleged misuse of party money by former Victorian state director, Damien Mantach, proved reform was needed. |
| “It was a prophecy that has come true, and that of course is vindicated too by the $1.5m so alleged to have been embezzled by the Victorian state director,” Higginson told ABC Radio. | “It was a prophecy that has come true, and that of course is vindicated too by the $1.5m so alleged to have been embezzled by the Victorian state director,” Higginson told ABC Radio. |
| Turnbull’s office told Guardian Australia any reform of the party is a matter for the federal executive council. | Turnbull’s office told Guardian Australia any reform of the party is a matter for the federal executive council. |
| Loughnane, an Abbott ally, will reportedly step down following Turnbull’s ascension to prime minister. | Loughnane, an Abbott ally, will reportedly step down following Turnbull’s ascension to prime minister. |
| Related: Bidding farewell to Peta Credlin, the woman who broke all Canberra's rules | Katharine Murphy | Related: Bidding farewell to Peta Credlin, the woman who broke all Canberra's rules | Katharine Murphy |
| Higginson rejected the suggestion his February email damaged the party, saying he had a lot of positive feedback from party members. | Higginson rejected the suggestion his February email damaged the party, saying he had a lot of positive feedback from party members. |
| “I think it was a wake up call to most people,” he said. | “I think it was a wake up call to most people,” he said. |
| He also denied the emails had damaged his relationship with Abbott, who he described as a “good friend”. | He also denied the emails had damaged his relationship with Abbott, who he described as a “good friend”. |
| “He took a lot of bad advice from people that gave lots of bad advice,” he said. | “He took a lot of bad advice from people that gave lots of bad advice,” he said. |
| The federal party president, Richard Alston, told the ABC the federal executive had expressed confidence in Loughnane earlier this year. | The federal party president, Richard Alston, told the ABC the federal executive had expressed confidence in Loughnane earlier this year. |
| “The conflict of interest issue was raised late in the day after Mr Higginson had himself been criticised,” Alston said of the emails. | “The conflict of interest issue was raised late in the day after Mr Higginson had himself been criticised,” Alston said of the emails. |
| Guardian Australia has contacted Alston for comment. | Guardian Australia has contacted Alston for comment. |
| In the leaked emails, Higginson wrote the perception of conflict of interest arising from Credlin and Loughnane’s relationship was the Liberal party’s “most serious current dilemma”. | In the leaked emails, Higginson wrote the perception of conflict of interest arising from Credlin and Loughnane’s relationship was the Liberal party’s “most serious current dilemma”. |
| “How this party ever let a husband and wife team into those two key roles, where collegiate competitive tension is mandatory, is a complete mystery,” Higginson said. | “How this party ever let a husband and wife team into those two key roles, where collegiate competitive tension is mandatory, is a complete mystery,” Higginson said. |
| “Conflicts of interest only have to be perceived to be frowned upon and to be highly damaging. They don’t actually have to occur. The persons in our party’s history that allowed it to occur should hang their collective heads in shame.” | “Conflicts of interest only have to be perceived to be frowned upon and to be highly damaging. They don’t actually have to occur. The persons in our party’s history that allowed it to occur should hang their collective heads in shame.” |