“In operational terms, the CMC has accomplished significant outcomes in investigating and fighting both crime and misconduct, and in its oversight of a large and increasingly complex public sector. Our major investigations obtained solid results in criminal prosecutions and disciplinary outcomes. We continued to adapt and strengthen our investigative methods, greatly enhanced by our telecommunications interception capabilities.”
---Chairperson Martin Moynihan
New CMC management arrangements were introduced in November 2010, following a major review of the agency’s governance systems and structures.
A significant change was establishing the role of Executive General Manager (EGM) in April 2011. This position joined the newly formed Executive Leadership Group (ELG) which replaced a 13-person Executive Committee.
At 30 June 2011, the CMC had a budget of $48.56 million and had 325 employees.
Major CMC outcomes in 2010-11 included:
- Receiving 5,124 complaints containing 11,909 separate allegations of misconduct
- Undertaking 146 crime and misconduct investigations
- Undertaking 28 tactical operations, 96 per cent of which resulted in charges, restraints or seizures
- Facilitating 124 crime and misconduct hearing days
- Concluding 48 matters resulting in assets worth over $9.3m being forfeited to the State, and restraining assets worth $14.1m
- Obtaining proceeds of crime assessment orders to a total value of $4.96m, including one order of $4.2m against a convicted outlaw motorcycle gang member
- In December 2010, published Setting the standard, a report on the CMC’s own review of the QPS disciplinary system
- Seizing drugs with an estimated street value of $1.6m and thereby preventing them from reaching Queensland communities
- Holding investigative hearings over 114 days in Brisbane, Maroochydore, Bundaberg, Gladstone and Cairns which saw 106 witnesses called to give evidence in 23 major crime investigations
- Investigations into networked paedophilia which resulted in 12 persons being charged with 122 offences relating to possession, distribution and production of child exploitation material
- Conducting 15 investigations into 95 allegations of official misconduct by officers of the public sector.
The sentencing of former minister Gordon Nuttall
The CMC commenced Operation Moonlight in November 2005 when it investigated allegations that former minister, Gordon Nuttall, had accepted corrupt payments from two businessmen – the late Ken Talbot, of McArthur Coal Limited, and Harold Shand.
A related operation (Operation Spoke) investigated information that Mr Nuttall had received corrupt payments from Brendan McKennariey, a contractor involved in Queensland Health projects.
Timeline of sentencing of former minister Gordon Nuttall
The following timeline represents matters up to and including the sentencing of former minister, Gordon Nuttall:
- In December 2007, Mr Nuttall and Mr Shand were charged with one count of receiving/paying a $60,000 secret commission, and in January 2008, Mr Nuttall and Mr Talbot were charged with 35 counts of receiving/paying secret commissions totalling almost $300,000.
- On 20 June 2010, Mr Talbot died in an aircraft crash in the Congo and the charges against him were withdrawn.
- Mr Nuttall was found guilty of the 36 charges against him, and on 17 July 2009, was sentenced to a total term of seven years imprisonment.
- In April 2011, Mr Shand was found guilty of the secret commission offence and sentenced to 15 months imprisonment, suspended after serving four months.
- Mr McKennariey gave evidence against Mr Nuttall in proceedings for offences of official corruption. Under section 644A of the Criminal Code, the incriminating evidence he gave could not have been used against him, except if he perjured himself. The effect of section 644A was that Mr McKennariey was effectively immune from a criminal charge in relation to the evidence he gave regarding Mr Nuttall.
- In December 2010, Mr Nuttall was found guilty of those additional charges, and was sentenced to a further five years imprisonment. An appeal by the Attorney-General against the inadequacy of Mr Nuttall’s sentences was heard in May 2011.
- In June 2011, the Court of Appeal upheld the Attorney-General’s appeal, resulting in an increase to Mr Nuttall’s head sentence to seven years and extending his non-parole period by 18 months.
- As a result of proceeds of crime action taken by the CMC, Mr Nuttall was ordered to forfeit $595,980 to the State and pay costs of $47,000.
Major investigations: Operations Warrior and Tesco
The CMC’s crime activities were dominated by the preparation of court material for the prosecution phase of the multi-jurisdictional investigation Operation Warrior, the CMC’s landmark organised crime investigation of 2010-11. A record 42 full briefs of evidence were produced, comprising 8000 transcripts and hundreds of witness statements.
Operation Warrior resulted in:
- eight people being imprisoned for serious drug offences
- 4 people being committed to trial in the Supreme Court
- 13 people listed for committal hearing.
Importantly, the compilation of voluminous briefs of evidence and innovations to the CMC e-brief set new benchmarks for the production of evidence in courts.
From January 2009, the CMC investigated allegations that certain police officers on the Gold Coast were involved in the use and supply of dangerous drugs, the use and supply of confidential police information to assist criminal associates, and the receipt of benefits in connection with those activities (Operation Tesco). The CMC was assisted in the investigation by the QPS.
In August 2010, the Police Commissioner announced a package of further measures designed to improve policing on the Gold Coast and address the problems identified in Operation Tesco and earlier CMC investigations.
In September 2010, the CMC conducted public hearings to consider challenges presented by the evidence.
Operation Tesco’s public report was released in June 2011. The main outcomes included:
- The QPS developing a policy for managing the risk of potentially inappropriate associations.
- The CMC recommending to the QPS that disciplinary action for misconduct be considered against five police officers, including an inspector, and that another police officer receive managerial guidance. However, the CMC did not find evidence of widespread corruption and misconduct by Gold Coast police.
- Criminal prosecutions commencing against members of the public for various drug offences, including the possession and supply of dangerous drugs, which came to the CMC’s attention during the operation.
Organised criminal group disrupted in time for Schoolies celebrations
The CMC investigated the activities of an organised crime network operating throughout the southern areas of Brisbane and the Gold Coast. This group was supplying methamphetamine (‘speed’ or ‘ice’) and GHB (‘fantasy’) to criminal associates and juveniles, with the apparent intention that those juveniles would sell the drugs during ‘Schoolies’ celebrations on the Gold Coast.
As a result, prosecution action was commenced against four persons on 49 drug and property related offences including trafficking, supply and possession of dangerous drugs, the possession of weapons, and the receipt and destruction of a stolen motorcycle valued in excess of $12,000. Assets to the value of $49,630 were restrained.
For more information on the CMC during 2010-11, view the Annual Report here.
