Lyndoch board resignation kept under wraps…here’s why

The Terrier Facebook post from 16 February about Peter Downs resigning from the Lyndoch board.

Carol Altmann – The Terrier

Well, well, well…. it turns out former Warrnambool Racing Club chief Peter Downs resigned from the Lyndoch board months ago, but, oddly, officials weren’t told until the very day after The Terrier post on Facebook.

Mr Downs resigned on 18 December 2019 and the Australian Securities and Investment Commission (ASIC) is supposed to be told of such changes within 28 days.

Despite this, and despite Lyndoch having held at least one board meeting since then, ASIC wasn’t formally notified until 17 February – the day after the Facebook post on The Terrier.

Mr Downs’ profile was also suddenly whipped down from the Lyndoch website.

Funny, that.

As it stands, there has been no public statement by Lyndoch about Mr Downs’ departure after three years on the board, and just three months after he was re-elected for a second term.

While I am sure we’re all happy to help Lyndoch to keep up with its governance free of charge (!), the bigger picture here is cause for concern.

Who replaces Mr Downs?

As we now know, while Mr Downs’ seat at the table sat empty, the Lyndoch board was rejecting membership applications left, right and centre.

You have to be a member of Lyndoch to become a board member.

No new members = nobody can nominate for the board.

Memberships were discarded instantly because the applicants happened to know me, however closely or distantly, or have ‘liked’ a post from The Terrier.

Wow, to think that passes as acceptable.

Board vacancies no longer have to be advertised, as they were under the old rules of Lyndoch that were changed without any of us noticing.

Now, when a vacancy arises, the board members and CEO just hunt around for their preferred applicants.

If any other public body worked this way – imagine the WCC councillors and CEO deciding who could be on the council – there would be rioting in the streets.

For the wider community to have no chance to nominate for the Lyndoch board is an outrage.

In any other world, this would be called branch stacking, or insider trading, or a closed shop, or a cabal, yet we are supposed to accept it as normal.

I keep saying it, Lyndoch is owned by the community and run by the board on our behalf.

That board will hold its monthly meeting on Tuesday.

There it will decide who will replace Mr Downs. The names are in.

It will also decide which membership applications, including that of Vicki Jellie AM, will be accepted or tossed in the bin.

It’s going to be a very interesting test.

There are troubles at Lyndoch. I am going to keep saying it, despite the attempts to silence those who say the Emperor is naked.

Does the current board feel happy with how things are being run? Do they agree with this shutting out of the community? Are they monitoring the numbers of staff on sick leave? Are they happy to sit back and watch and then say they knew nothing and did nothing?

There is a lot to be learnt from what is now unfolding at the Warrnambool City Council about speaking up and standing up.

I, for one, am waiting to see who from the Lyndoch board emerges as a Bernadette Northeast – on the front foot – or as a Cr Michael Neoh – far too little, far too late.

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Lyndoch Living board member calls it quits…now what?

Now you see him…..Peter Downs was listed as a board member on Saturday morning, 15 February 2020.

Carol Altmann – The Terrier

Former Warrnambool Racing Club chief Peter Downs has quit the board of Lyndoch Living, having been reappointed for another three years just last October.

I don’t know exactly when Mr Downs* – who moved to Melbourne in September – resigned, but his board profile was on the Lyndoch website yesterday morning and gone by the end of the day.

This is awkward.

Lyndoch now has to fill his spot.

Mr Downs was one of nine board members, and Lyndoch must have at least nine board members under its constitution.

And here’s the catch: to become a board member, you must be first a general member.

Uh oh.

As we know, Lyndoch has only 15 14 members in total, all present and accounted for, including the board, the executive including the CEO, and two life members in Ron Patterson and David Atkinson who have already done their time.

There is nobody else, because, as we also know, nobody has been allowed to join.

No new members = no new board members.

Now you don’t. The Lyndoch Living board page was updated by the afternoon to remove Mr Downs.

Just yesterday there was a brilliant Letter to the Editor to the Warrnambool Standard by retired lawyer Lynn Hudson, a super-qualified person who applied to become a member of Lyndoch and was flatly rejected.

Her well-credentialled husband was also rejected. (You can read the letter here).

Lynn’s letter pulled back the veil on the farce that has seen a string of smart, caring, well-credentialled people who have applied for Lyndoch membership and been rejected with no explanation.

What an absolute joke. 

Except the joke, if it only were funny, is that the Lyndoch board now has to find a new board member.

It has four choices, only two of which will pass muster. 

One is to hand pick someone that passes the strict criteria for being a Lyndoch board member, which appears to be sit down, don’t ask tricky questions and be bedazzled by the plans to transform our aged care home into LyndochLand™.

Another is to advertise for a board member, which used to happen back in the days of equity, openness and gratitude for a community that loved Lyndoch.

A third is to do both of the above: advertise and then pick the person who has been worded up to apply.

Or…..

Former WRC CEO Peter Downs was re-elected to the Lyndoch Living board at the AGM last October. Photo: Racing.com

Or, the board just happens to have a membership application on its desk right now from one of the most qualified, most decent, most ethical, respected and upfront people in Warrnambool: Vicki Jellie, AM.

What a stroke of luck for Lyndoch Living!

Vicki, as we all know, was the driving force behind Peter’s Project, which saw a multi-million-dollar cancer treatment centre built in Warrnambool.

The AM after her name was awarded in the national Australia Day awards in 2017 as Australia’s Local Hero – a winner chosen out of the whole nation!

And yet here is Vicki, applying along with the rest of us, to see if she is good enough to be accepted as a member of Lyndoch Living where she used to work and where, first hand, she saw the changes that are now the subject of long-overdue scrutiny.

Mind you, I doubt Vicki would want to join the Lyndoch board as it stands. 

There are mounting questions about the direction of Lyndoch, and around staff morale, resignations and sick leave, which rolls on, believe me, except I am unable to speculate publicly as to why.

Mr Downs’ resignation has forced the hand of the board to reveal its true intentions and the next board meeting on 25 February will be very revealing.

We will know whether the board intends to once again be open and honest with the community that built and sustained Lyndoch for more than 60 years, or to remain a place of secrets and, I hope, growing unease.

One thing is certain, the game is up.

*I have left messages with Mr Downs late this afternoon for comment.
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The truth behind Lyndoch’s immoral horse race sponsorship

Lyndoch executive members board chair Kerry Nelson and CEO Doreen Power at the presentation of the Grand Annual Steeplechase 2019, sponsored by Lyndoch. Image: Racing.com/Getty Images.

Carol Altmann – The Terrier

Let’s get straight to it. Lyndoch Living is a registered charity that has no right to spend more than $150,000* sponsoring Warrnambool’s Grand Annual steeplechase.

In fact, this immoral deal between our community-owned aged care home and the Warrnambool Racing Club makes a lie of an important promise made by Lyndoch to us 10 years ago.

Let me explain.

Contrary to recent reports, there is no “commercial arm” of Lyndoch that will provide private money for Lyndoch to sponsor the Grand Annual Steeplechase for another three years, having already sponsored it for three.

The race is being sponsored by Waterfront Living, which are the up-market retirement apartments built by Lyndoch near the Hopkins River bridge and which first went on sale in 2014.

Lyndoch CEO Doreen Power, third from left, at the 2017 Grand Annual Steeplechase presentation.

Waterfront Living was built by Lyndoch using public money, is still managed by Lyndoch, and remains a full subsidiary of Lyndoch – the board and CEO who look after Lyndoch are also in charge of Waterfront Living.

Waterfront is not some sort of separate, private entity that gets to spend its money wherever it likes. It is a part of Lyndoch, which is a charity.

And here comes the crunch.

Why did Lyndoch build these apartments? To make money to put back into Lyndoch.

Former Lyndoch CEO Rhys Boyle, who retired in 2015, made this very promise to the community when the apartments were built.

This is what he said at the time:

Every cent made by this project will go back into our business to keep it operational.”

Every cent.

And then this:

“This development isn’t about making profit for profit’s sake. Lyndoch as an organisation can’t be benevolent to our residents if we’re not making enough money to put back into the business.”

 

I added the bold type, because I need to shout these words from the page.

We are being duped.

We now have clear proof – from the very top of Lyndoch – that the money coming in to Lyndoch from the apartment sales was never intended to go toward a horse race.

It was to go toward caring for the residents.

Racing sponsorship, or some new “Princess” chairs to replace those worn out, as captured in this image taken by Lyndoch late last year.

There is no possible justification for such a sponsorship deal, especially when Lyndoch is operating at a loss, which it has done for four of the past five years.

Any money from Waterfront – every cent – is to go back into Lyndoch so the hard-working staff can provide the best care to residents, including things like new, comfortable chairs, quality food, good coffee and yes, a steady supply of sheets, towels and face-washers.

I, for one, have had enough of the spin and the failure of the board to scrutinise every inch of Lyndoch’s spending on our behalf.

The board, if it needs reminding, is there to represent the community who still own Lyndoch, just as we have for more than 60 years.

The board is our voice and they are letting us down.

If there is one thing about our community, perhaps because we are surrounded by dairy farms, it’s that we can smell the scent of bullshite and we know when things are not right.

Sponsoring a horse race with Lyndoch money is not right.

Photos taken inside Lyndoch last year show shortages of linen. The reasons have never been explained publicly, with Lyndoch refusing to comment.

As the ultimate owners of Lyndoch, it is time for the community to speak up on behalf of those who can’t, because if we don’t, we are letting down our loved ones in Lyndoch and we are letting down all of the residents and their families.

You can contact the Minister for Disability, Ageing and Carers, the Hon Luke Donnellan, here: luke.donnellan@parliament.vic.gov.au

You can contact the Lyndoch chair, Kerry Nelson, here: knelson@mpower.org.au

And you can contact the Australian Charities and Not for Profits Commission here: https://www.acnc.gov.au/raise-concern

I wish I could say this was the end of the Lyndoch stories, but there is still a long way to go before everything is out on the table.

More soon.

* the cost of the sponsorship has never been declared by Lyndoch, but is believed to be around $80,000-$100,000 for each three-year sponsorship.

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WRC to WCC: Hi Bruce, can you help us out of a bind?

Former W’bool City Council CEO Bruce Anson and former W’bool Racing Club CEO Peter Downs. (Original images via WCC and Racing.com)

Carol Altmann – The Terrier

It’s fascinating to see the conversations that go on behind the scenes between the powerful, like an exchange between the former CEO of the Warrnambool City Council, Bruce Anson, and the former CEO of the Warrnambool Racing Club, Peter Downs.

It is a brief exchange – and released only through Freedom of Information of course – but it says so much.

It reveals that Mr Downs met with Mr Anson on Thursday 8 February 2018 with a problem.

The problem was that racehorse training along a section of Port Fairy’s East Beach was no longer possible because, wait for it, those pesky Hooded Plovers had turned up and made it “unworkable” for the racehorses.

But Mr Downs had an idea, which he put to Mr Anson in writing after their catch up: what about giving permission for 50 racehorses to use Lady Bay from Monday 12 February, from dawn until 8am?

Under the council rules, racehorse training at Lady Bay did not normally start until 1 March.

 

There is a very good reason for this, as Mr Downs acknowledges:  “We understand that there are other beach users using this area at this season of the year”.

(That season of the year is called summer and funnily enough there are loads of “beach users” who like to use Warrnambool’s main beach in summer.)

Not only did Mr Downs think having 50 racehorses training on Lady Bay in summer was a great idea, he also hoped the council could make it happen with just four days’ turnaround from his meeting with Mr Anson.

How? Well, “a circular resolution via email” to councillors.

Excuse me?

No meeting of councillors? No discussion with the public? Not even a notice in the Saturday newspaper?

Was Mr Downs seriously suggesting the council could change the rules by flicking an email around to councillors for a “yes” or a “no”?

 

You would expect Mr Anson, as CEO, to have clutched his belly, laughed out loud and spluttered “Don’t be so bloody ridiculous Peter!”

But no.

Mr Anson got straight on to it, to see if it could be done.

Within 24 hours Mr Anson had replied to Mr Downs, having done something that the council should have done when the WRC also wanted to access Levy’s Beach for racehorse training – he checked the council laws.

Lo and behold, it is illegal under local laws to bend the rules around racehorse training at Lady Bay without consulting the public.

Who would have thought? Fancy not being able to change a local law via Snapchat or WhatsApp, how inconvenient.

“Sorry I cannot assist in this instance,” Mr Anson wrote in his reply to Mr Downs via his ipad.

In this instance.

Ah, the power of three little words.

 

Mr Anson is no longer CEO, but the councillors are due to vote again on large-scale racehorse training at Levy’s Beach/Spooky’s Beach which, you may recall, was also found to be illegal under council laws and saw the Planning Minister step in to make it legal.

A sunset clause on the whole mess lapsed on 30 November last year, so each councillor will once again have to decide where they stand on the issue which continues to divide the community.

The first council meeting of the year is next Monday…and the election is in October.

Stay tuned.

The story would not have been possible without a grant from the Walkley Foundation Public Fund which supports investigative journalism.




Amid allegations of staff shortages, Lyndoch’s off and racing

Lyndoch Living CEO Doreen Power cheering on from the stands during the 2019 May Racing Carnival. Image: Lyndoch Living/ Racing Victoria.

Carol Altmann – The Terrier

With aged care under the pump, it’s hard to believe Lyndoch Living spends tens of thousands of dollars sponsoring the Grand Annual Steeplechase and hiring a marquee at the Warrnambool May Races.

Details of the deal are not public, but it means potentially around $160,000 – if not more – will have been spent on supporting gambling via race sponsorship and corporate hospitality for selected Lyndoch staff, guests and residents.

When did supporting gambling become a core value of Lyndoch aged care, which is a registered charity and a public benevolent institution?

 

Just as with Lyndoch’s plan to build a multi-million-dollar medical centre, the appropriateness of this deal is also the subject of complaints to the Australian Charities and Investment Commission, which will make an assessment.

The close ties between Lyndoch and the Warrnambool Racing Club also raise potential conflicts of interest, which I will get to in a moment.

Lyndoch chair Kerry Nelson and CEO Doreen Power, right, with the sash for the 2019 Grand Annual Steeplechase sponsored by Lyndoch. Image: Lyndoch Living.

First, however, it has emerged that while members of Lyndoch’s hierarchy were enjoying the May Races this year, life was less glamorous back at Lyndoch itself.

The daughter of one resident was, at that time, spending each day in Lyndoch to watch her Mum because she had taken to falls and there was not, allegedly, enough staff to keep an eye on her.

To protect the privacy of the resident, I am not revealing this woman’s identity, but I have spoken with her several times and she is a highly credible source.

 

The woman in question took a week off work to spend seven days straight, from 7am in the morning until 10pm at night, in her mother’s room at Lyndoch because, she told me, she could see the staff were “literally running” to keep up.

Many staff, she says, were not able to take their breaks.

The situation was compounded by the wing being in lockdown due to an outbreak of influenza, which meant an additional burden on staff, such as feeding all residents in their rooms.

While the woman could see the staff were “doing their best”, it was clear that if she wanted a close eye kept on her Mum while the doctors sorted out her medications, it would be better to watch her herself.

Lyndoch board member Cr Sue Cassidy and CEO Doreen Power in the Lyndoch corporate tent during the 2019 May Racing Carnival. Image: Lyndoch Living

Spending hours each day with her Mum was a commitment she was prepared to make, but then she scrolled through Facebook and saw Lyndoch posts of CEO Doreen Power and chair Kerry Nelson at the May Races.

Judging by the Facebook posts, some Lyndoch executives including Ms Power didn’t attend just one day of the carnival, but at least two.

The woman, to put it plainly, was absolutely furious.

 

She arranged to meet directly with Ms Power to express her concerns around Lyndoch’s handling of the lockdown, the alleged staff shortages and the impact on her mother’s care, but, she says, left that meeting far from satisfied with the CEO’s alleged reactions and responses.

The woman then contacted the chair, Ms Nelson, who she described as sympathetic, as was the Director of Nursing Julie Baillie, but she ultimately came away feeling “very concerned” by the overall response of Lyndoch to her complaints around duty of care.

I asked both Ms Power and Ms Nelson to comment on this woman’s story. Neither responded.

Lyndoch board member Peter Downs, former CEO of the Warrnambool Racing Club, (far left) and Lyndoch CEO Doreen Power (third left), who are part of a syndicate behind Strategic Force. Image: Racing.com

This snapshot of life inside Lyndoch during the 2019 May Race Week brings me back to the question of what is Lyndoch Living doing at the races in the first place?

Were staff on paid time or personal leave? Perhaps this is another example of Lyndoch’s new “core business” in action.

I do know that the relationship between the Warrnambool Racing Club and Lyndoch has become much closer since former club CEO Peter Downs joined the Lyndoch board in September 2016.

It was just four months’ after Mr Downs joined the board that Lyndoch announced its first, three-year sponsorship deal of the Grand Annual Steeplechase.

At the time, the board was at pains to point out that Mr Downs – who had a very clear conflict of interest – excused himself from anything to do with that decision.

This must mean the Lyndoch Living board came up with the whole idea itself.

 

Lyndoch has since re-signed its sponsorship deal for 2020 and Mr Downs, who now lives in Melbourne and works for Moonee Valley, remains on the Lyndoch board.

The links, however, don’t stop there.

As I wrote in April, Mr Downs and Ms Power also have shares in at least one racehorse, Strategic Force.

Any potential, perceived or actual conflicts of interest there?

Apparently not.

It is these tangled webs and inexplicable decisions that have so many of us outside of Lyndoch worrying about its direction and priorities.

And it is why we will keep asking questions of those in charge, no matter what hurdles are thrown in our way.

The final instalment – before I pick up the thread after Christmas – is coming soon.

In the meantime, I am starting a Foxy Fighting Fund. If you would like to make a small contribution, you can do so below.

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