Bob Day hits back in eligibility row, calls on MPs to disclose financial interests linked to the Commonwealth

Updated November 03, 2016 01:23:13

Senator Bob Day has urged other parliamentarians to come forward with any of their own concerns following questions over the constitutionality of his election, as Labor calls for greater transparency about the Government's handling of the issue.

Mr Day formally resigned from Parliament on Tuesday, an announcement which came after weeks of examining a lease arrangement for his electorate office.

Although Mr Day sold the building which houses his electorate office, the Government believes he still retains a financial "interest" in the company which owns it — and that this is in breach of a constitutional ban on parliamentarians having contracts with the Commonwealth.

Last December Government sources said the Commonwealth entered into a lease agreement with the new owner of the property, Fullarton Investments, under which no rent would be paid by the Commonwealth.

That was because former Labor senator Don Farrell's office was still vacant and rent was being paid by the Commonwealth, but Mr Day did not want to move in.

However, Mr Day's company and family trust loaned Fullarton Investments money to purchase the property — and are ultimately liable for a National Australia Bank mortgage on the property.

The Commonwealth terminated the lease in October this year.

After Mr Day was re-elected this year, he emailed Special Minister of State Scott Ryan on August 4 to renew arrangements for the use of the office, including an understanding that no rent would be paid to Fullarton Investments.

Mr Day said he was "looking forward to the High Court resolving the matter".

In a text to the ABC, he urged other parliamentarians to come forward if they had similar concerns.

"I am calling on all MPs and senators to immediately disclose whether they have any financial interest in any property or company that has a contract, lease or agreement of any kind with the Commonwealth," he said.

"This includes Defence Service Housing, loans to or from companies that do business with the Commonwealth."

If the matter proceeds to the High Court, it could have implications for other federal politicians.

Shorten questions Government's timing

Opposition Leader Bill Shorten has accused the Government of "improper behaviour" in handling the issue.

Mr Shorten also questioned whether the Government should have accepted Mr Day's vote if it was known legal advice was being sought.

"This issue of whether or not Senator Day was eligible to be elected didn't just start at the end of last week," he said.

"I think this Government has to explain who knew that there was a problem, how long have they known there was a problem, how high up the food chain in the Government have been the attempts to keep this a secret."

Senator Ryan said he sought internal advice after being informed of the issue in August 4, but told the ABC the Government did not seek independent legal advice until nine weeks later.

"That advice was received just after the close of business last Thursday [October 27]," he said.

"We then informed the President of the Senate.

"The Government has acted with entire probity with respect to this, because we brought it to the attention of the Senate before the Parliament resumed."

Topics: federal-government, federal-parliament, government-and-politics, alp, minor-parties, australia, sa

First posted November 02, 2016 10:09:06