The National Anti-Corruption Commission (NACC) had a difficult first year, as it experienced public and political pressure due to perceived failures to uproot corruption.

Gail Furness, the inspector of the NACC who provides oversight, revealed in her first annual report, there were “systemic issues” in the handling of complaints and that an NACC officer was offered a “secret commission”.

Furness said that she had identified two complaints that, if established, could “amount to maladministration” in her report that covered up to June 30, 2024.

The first error arose because the NACC had decided incorrectly that a referral was not within its jurisdiction.

“Their referral concerned, among other matters, ‘family court writers’ and a state government department,” Furness said.

“The inspector did not consider that, in the circumstances, the error of law amounted to maladministration and noted that the commissioner was changing the NACC’s processes.”

The second, she said, was because the NACC failed to identify a corruption issue after a referral.

After a review by the inspector, she identified two corruption issues.

“The commissioner agreed, albeit on a slightly different basis, that there were two identified corruption issues in the referral,” Furness said.

“The inspector identified systemic issues arising from the inadequate and flawed handling of the referral by the commission.”

Furness said that “systemic issues arising from the inadequate and flawed handling of the referral by the commission” and the need for more accurate case management systems have been raised with the NACC.

Robodebt

The handling of Robodebt and a perceived conflict of interest has placed pressure on NACC commissioner Paul Brereton, who remains in the role.

Furness said the vast majority of the over 1300 contacts during the year were specific complaints about the handling of Robodebt.

“My first year ended with an announcement by the NACC not to pursue referrals from the Royal Commission into the Robodebt Scheme,” she said.

“In response to the hundreds of complaints received by my office about that decision, on 13 June 2024, I announced I was inquiring into the NACC’s decision.”

The result was that Brereton had incorrectly failed to recuse himself in a case involving a conflict of interest related to someone referred over the Robodebt scandal.

Brereton, a former NSW judge and army reserve general, has resisted pressure to step down. Photo: AAP

The NACC has since announced it will reconsider examining the Robodebt referrals.

‘Secret commission’

Within the legislation, the NACC is required to report to the commissioner about any “corruption issues he becomes aware of”.

Furness said that two referrals were made, with the first being “an offer to pay a staff member of the NACC what might be considered a secret commission”.

“Having obtained further information, the commissioner informed the inspector his view, that it is doubtful that the person ‘was aware of the NACC officer’s position and in any event, does not appear to have suggested that the NACC officer take any action in his capacity as such, and that the NACC officer acted appropriately in response to the approach made to him, I do not propose to take any further action in relation to the matter’,” Furness said.