Carol Altmann – The Terrier

A tip-off has landed in the terrier kennel that Lyndoch Living is set to further expand its executive by hiring former Warrnambool City Council Acting CEO Vikki King.

Until recently this tip-off was a persistent rumour, but I now have every reason to believe it’s on the cards, although it’s impossible to provide rock solid confirmation at the moment, because Lyndoch doesn’t talk to me.

(An emailed question to the Lyndoch media unit has gone unanswered.)

But Ms King, according to my sources, is set to be employed to a new, senior executive position within Lyndoch Living.

The number of executives and administration officers within Lyndoch Living has ballooned in the past five years, although the most recent figures are hard to come by.

The last time Lyndoch provided a breakdown was in 2018 when there was 60 admin staff, up from 37 in 2016.

In 2020, administration cost Lyndoch $3.07 million for the year.

If my sources are right, Ms King will soon be added to this payroll.

As we know, Ms King was director of Community Services at the Warrnambool City Council for six years, and Acting CEO for almost 12 months after the illegal sacking of CEO Peter Schneider.

Ms King resigned from the council on June 16 – just five days after Mr Schneider won his Supreme Court case and was reinstated.

Little has been heard about Ms King since, until this “rumour-turned-tip-off” bubbled to the surface.

One thing is certain, Ms King has already developed firm links to Lyndoch Living via her work at the council and separately.

As the string map published here a year ago shows (thanks to a reader), Ms King is deputy chair of the South West Primary Care Partnership that is chaired by the Lyndoch CEO.

Both Ms King and the Lyndoch CEO were also involved with Beyond the Bell/South-West Local Learning and Employment Network.

Ms King’s role as council’s director of Community Services naturally also included links with Lyndoch, especially via the council’s 2040 plan, of which Lyndoch is a partner.

And as it happens, one of the last public statements made by Ms King before her resignation from council was to announce that Lyndoch was taking over the Regional Assessment Service for elderly people wishing to stay in their homes.

We shall see in due course if my tip-off is right, or if I am barking up the wrong tree.

Carol Altmann – The Terrier

I have been thinking about consequences and wondering if there will be any for what unfolded in the last 12 months of the last Warrnambool City Council.

Because while we wait to see if sacked CEO Peter Schneider wins his court case, there are some other potentially illegal dealings that also require attention.

The first is alleged fraud or alleged theft (take your pick) of public money as part of the corporate credit card scandal.

The council confirmed that the credit card misuse involving former tourism manager David McMahon was referred to the police, as recommended by the Ombudsman in her report tabled six months ago.

The police, I can only assume, are now investigating Mr McMahon’s repayment of more than $6000, the doctoring of receipts, and writing fake invoices that saw staff parties at the Lady Bay put down as “room hire” so they would be picked up by the public purse.

Despite leaving messages, I have been unable to get an official update from the detectives involved.

I wonder if charges will be laid, or if there are two sets of rules for so-called white collar and so-called blue collar crime?

Under that form of justice, if you pinch a mixed grill from Woolies, you are charged, but if you misuse thousands of dollars in public funds, you get to pay it back and that’s the end of it.

We shall see.

Second, we have confirmation that four former councillors sought detailed legal advice from the council lawyers, Maddocks, in Melbourne, to work out how to sack Mr Schneider.

This legal advice, as the Supreme Court heard last month, was not approved by the full council.

This is against the law.

Such legal advice normally costs money and is paid for from public funds.

Maddocks sent the council an invoice, but it was withdrawn and never paid.

These are the simple facts, so the question is: does an illegal act by four councillors become legal if the bill is torn up?

Can the former councillors involved – knowing the public was expected to pay the bill – just get away with it?

And, if so, who decided that the invoice would be withdrawn and why?

All of this was referred to the Local Government Inspectorate last year as part of a request for a broader investigation into the sacking of Mr Schneider.

Another spurious decision was also referred to the Inspectorate, which was the re-appointment of acting CEO Vikki King for another five years to her position as manager of Community Services.

Ms King’s contract was due to expire in August last year.

Ms King was appointed acting CEO the night Mr Schneider was sacked on 13 July.

As Acting CEO, Ms King delegated off the authority to re-appoint herself for another five years.

We still don’t know exactly who signed off on Ms King’s reappointment, but I understand it was a casual staff member.

These are the simple facts, so the question is: can a casual worker sign off on a $240,000 a year position and why didn’t a senior manager put their name to it?

The Local Government Inspectorate confirmed last August it has launched an investigation into Mr Schneider’s dismissal, and that investigation is ongoing.

Any details on the scope of the investigation, however, and how it is coming along, are strictly under wraps.

I recently contacted the LGI and the latest update is this:

“The Local Government Inspectorate is investigating a complaint in relation to Warrnambool City Council. This investigation is ongoing.

“The Inspectorate deals with complaints or requests for investigation in strict confidence and does not provide comment on investigations that are yet to be finalised.”

The passing of time does not diminish the importance of these ongoing investigations and the need for either closure or consequences.

Only then will this sorry chapter in our civic history be fully laid to rest.

Carol Altmann – The Terrier

As the count goes on to decide who will sit alongside frontrunner Vicki Jellie on the new Warrnambool City Council, we must remember that there is important, unfinished business from the last go round.

The first is whether the WCC has referred a crime to the police – the abuse and misuse of a council corporate credit card.

It is now almost four weeks since the Ombudsman recommended it consider doing so: we still don’t know if it has.

The latest statement from Acting CEO Vikki King is “at this stage there is no update in relation to the referral of the credit card findings to the Warrnambool Police”.

A former senior council manager lied and covered up his spending on a council credit card and yet, four weeks on from this confirmation, the council is apparently no further forward on pursuing any criminal charges.

For a council that allegedly couldn’t wait to throw a CEO out the door for pressing pause on a fishing pontoon, this is disturbing.

And for our local paper to argue that the stolen money was “paid back”…if only such justice was served to the poor bastards thrown into court for pinching a packet of chops.

Just as disturbing is the second item of unfinished business: the leaking of highly sensitive, highly personal documents from within council to at least two councillors, in the mail.

Three sworn affidavits from Tony Herbert, Sue Cassidy and Kylie Gaston all revealed that psychometric test results for those who applied for the position of CEO were leaked.

Senior council staff have known about this leak since at least April this year, when Robert Anderson asked for an investigation.

Has it been investigated? Did it turn the joint upside down? Did it run a full IT audit to see who had access to these highly personal documents? (I would guess, not many people.)

Has it contacted the Inspectorate or the anti-corruption body IBAC?

We don’t know, because the Acting CEO – as of today – has declined to comment.

“It would be inappropriate to comment on matters currently before the Supreme Court,” is the statement.

But this leak is not being challenged in the Supreme Court. It happened. And nothing, it seems, has been done to track down the person/s responsible.

As it happens, IBAC just today issued a newsletter on this very topic of misuse of private and personal information held by councils.

IBAC warns that such misuse “may constitute corrupt conduct”.

There is that c word again.

I am as invigorated as you are by the wave of change that is poised to roll through our council and the above just underscores – yet again – why such a change can’t come soon enough.

Carol Altmann – The Terrier

Former Warrnambool City Council CEO Peter Schneider failed to perform in his job almost from day one, according to sworn evidence by former councillor Kylie Gaston.

Ms Gaston submitted a 10-page affidavit to the Supreme Court late Monday, setting out her defence as to why she was one of four councillors who voted to sack Mr Schneider on 13 July – 18 months after he replaced CEO Bruce Anson.

(The affidavit was released by the Supreme Court today, after the Melbourne Cup holiday).

Ms Gaston was the last of the four councillors to lodge an affidavit, but the evidence reiterates and reflects many of the justifications made by former councillors David Owen, Sue Cassidy and Michael Neoh, which have already been reported here. Acting CEO Vikki King was the fifth affidavit.

In particular, Ms Gaston refers to Mr Schneider intervening with the now infamous Queens Rd fishing pontoon that was built opposite the then-home of former Cr Peter Hulin, and the results of the council staff survey that showed poor staff morale and concerns of bullying.

Ms Gaston claims councillors also raised concerns with Mr Schneider “multiple times” about key staff not being replaced, governance issues and about staff well-being, but “he did not respond to many of our requests”.

Ms Gaston also raises fresh allegations, including that former CEO was under performing virtually from day one and, a month after he started, both she and the former Mayor were checking the fine print of his contract.

“In March 2019…I had a meeting with the Mayor for a general catch up. I asked him how Mr Schneider was going and he told me he was worried that Mr Schneider might be out of his depth.

“Together, we decided to check if Mr Schneider had a probationary clause in his employment contract, as the Mayor did not recall.

“We did not find a probationary clause and just left it at that, figuring that Mr Schneider would start to improve with time”.

But, according to Ms Gaston’s evidence, the CEO did not improve and in early February 2020 – 12 months after he began – she asked for a copy of his employment contract, which Mr Schneider provided.

All councillors (except Cr Hulin, who had by then resigned) then attended a meeting with Mr Schneider on 21 February to raise their concerns.

“During Mr Schneider’s time as the CEO, he was never proactive in requesting feedback, whether from the councillors at meetings, or with me personally. He did not seek feedback even after the meeting on 21 February,” the statement says.

Ms Gaston also alleges Mr Schneider held up progress on the new joint WCC/TAFE library project by several months, by failing to follow up and confirm philanthropic funding.

This was later done by TAFE CEO Mark Fidge.

Ms Gaston also reveals that she received a leaked copy of Mr Schneider’s psychometric test in the mail, which she showed Mr Herbert.

“When the Mayor saw the results of the psychometric tests, he put his head in his hands and said words to the effect of “Oh God, now this all makes sense,” the statement says.

Ms Gaston then goes on to say that Community Services Manager Vikki King was appointed Acting CEO after Mr Schneider’s sacking because she had already proven herself in the Acting CEO position (Ms King was acting CEO between Mr Anson and Mr Schneider).

Ms King was also the only one of the four directors available, as Scott Cavanagh had resigned, and Peter Utri and Andrew Paton were “conflicted” by the Ombudsman’s investigation, the statement says.

Ms Gaston denied allegations by Mr Schneider and Mr Herbert that she had a close relationship with Ms King and had not socialised with any council staff outside of council events.

The civil case launched by Mr Schneider arguing a lack of natural justice is due to go before the Supreme Court on 1 February.

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Carol Altmann – The Terrier

Former Warrnambool City councillor Michael Neoh claims sacked CEO Peter Schneider showed councillors a dog video as a progress report, and that it was hard to “pinpoint any strengths” in his performance.

Mr Neoh is the third of the four councillors who voted to sack Mr Schneider on 13 July to submit a sworn affidavit to the Supreme Court defending his actions in the face of a civil claim by Mr Schneider that he was denied natural justice.

In his eight-page affidavit lodged today – two days after the revised 3o October deadline – Mr Neoh denied claims by Mr Schneider that the responses of four councillors to a “360 survey” of his performance had been vindictive and spiteful.

Instead, Mr Neoh claims, “…it was difficult to identify areas in which Mr Schneider came close to exceeding average and it was difficult to pinpoint any strengths he had demonstrated.”

“This was my honest assessment and was consistent with the general view of the Councillors that they were unable to identify a single area in which Mr Schneider excelled.”

The affidavit then gives a specific example of what Mr Neoh claims were Mr Schneider’s inadequacies, involving – of all things – a dog video.

“…during Mr Schneider’s review, after six months at the Council, he was asked to report on progress to-date to the full Council. He presented a dog video and said his partner provided afternoon tea for some volunteers.

“I waited for the rest of his presentation but there was nothing else. I found it very disappointing that such a presentation would be deemed, by a CEO of a regional city, to be adequate,” the statement says.

Mr Neoh said, as with most new staff, “I allowed Mr Schneider some leeway so that he could adjust and become familiar with the organisation” but alleged Mr Schneider’s performance did not improve.

“As such, I accepted some business as usual, but I did not expect that settling-in period to prevent Mr Schneider from demonstrating leadership, vision, energy, networking and engagement with key stakeholders.”

In line with the affidavits of former Crs David Owen and Sue Cassidy, which I have published earlier today, Mr Neoh alleges Mr Schneider failed to resource the Warrnambool 2040 plan, despite it being a clear priority.

Staff survey results and community satisfaction survey results were also extremely poor.

“…the staff surveys disclosed that the bullying (being experienced by some staff) and a lack of direction by management were the main issues which concerned the staff.

“Contrary to the assertion by the Mayor (Tony Herbert), these were not restricted to legacy issues, in particular, the concern about the lack of direction”.

As with Ms Cassidy, Mr Neoh said he signed off on Mr Schneider’s pay rise in March, as it was linked to CPI, “rather than performance”.

The evidence also, for the first time, sets out Mr Neoh’s involvement in seeking legal advice on Mr Schneider’s dismissal.

This advice included a series of emails between Mr Neoh and the council’s lawyers, Maddocks, between 12 June and 28 June.

Mr Neoh said he sought advice from Maddocks, following verbal advice from Alison Lyon, General Counsel of the Municipal Association of Victoria.

He then “either forwarded the emails from, or the wording of the resolutions drafted by, Maddocks to Cr Gaston” as she was submitting the draft motions to Mr Schneider to be accepted on the notice paper.

Mr Neoh then discussed that advice with Crs Gaston, Cassidy and Owen in the lead up to the meeting on 13 July 2020.

The evidence also claims Mr Schneider did not meet “expectations” when he failed to report David McMahon’s credit card abuse to the council’s Audit and Risk Committee – of which he and Ms Cassidy were members –  although Mr Neoh concedes there was no obligation for a CEO to do so.

The affidavit also reveals that an external audit of the council’s credit card policies was never endorsed by the Audit and Risk Committee (and therefore not the council), as it failed to address when Mr Schneider was first told about the credit card abuse.

Mr Neoh tried to raise this with the Ombudsman as part of her investigation into the abuse, but was told by the Ombudsman’s office on 28 September that his submission was too late and too close to the council election.

As with former Crs Owen and Cassidy, Mr Neoh denied that his actions in sacking the CEO “have resulted in any damage to Mr Schneider’s reputation as alleged or at all”.

Former Cr Gaston has, to date, not submitted sworn evidence in the case, which is due to be heard on 1 February next year.

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