A few preliminary comments on tonight’s Special Council Meeting –

  • Doors were again locked
  • Residents attending the meeting in order to find out what was going on would have left none the wiser and certainly confused as to (a) why the urgency, and (b) what the outcomes were
  • History revisionists were out in full force

We report on Item 4.1 – noting and ‘adopting’ the Ombudsman’s report.

HYAMS: Asked if anyone had a conflict of interest to declare. No one did. Hyams moved the motion including that the Secretary of the Department implement recommendation 2 and 3 of the ombudsman’s report. Pilling seconded. Began by explaining why there wasn’t 7 days notice because needed a ruling from VCAT before the compulsory conference which is set down for next week. so there’s a ‘very tight time frame’…’I find the report to be a very accurate recounting of the facts…..behaviour of Cr Penhalluriack and the effects of the behaviour’. (Spoke about how on the night of the Mayoral election many councillors referred to the ‘difficult’ year that Esakoff had had as Mayor)….’now…the community understands why….significant report (because Ombudsman lists all of his previous reports and only 8 of them concern councils and only 2 are about individual councillors) ‘so clearly when the Ombudsman releases a report about a single councillor’ (not to be ignored).

Read out Paragraph 12 which talked about Penhalluriack ‘contesting the rules governing his behaviour in a forceful and aggressive way’…’that’s why we come to this situation….(referred to his tv interview and that they didn’t include the entire comment) ‘Cr Penhalluriack is a very successful businessman used to running his own show….having his own way….has trouble with the contraints imposed on councillors via the Local Government Act…(Mentioned that the report is) ‘largely uncritical of council and its efforts….critical on council being too lenient on Cr Penhalluriack….(3 aspects to the report – mulch facility). Municipal Inspector ‘has released a letter to us that said there is insufficient evidence to satisfy the evidentiary burden of proof required for criminal cases…..(therefore no action but Ombudsman looked at misconduct which)’would have a lesser evidentiary burden’…..so because something isn’t prosecutable as a crime doesn’t mean it isn’t misconduct’…..’so the Municipal Inspector and Ombudsman aren’t necessarily incompatible….(stated that he didn’t think that Penhalluriacks ‘motivations’ re the mulch were to profit his business)….’but motivation and even action you take doesn’t matter’…..what matters is that the interest exists….(Said that he had argued before that there wasn’t a conflict of interest and that he had moved the amendment to withdraw the mulch from the allegations to go to the councillor conduct panel)…’but having seen the Ombudsman’s report (he accepts that there could be a conflict of interest)….

‘Laneway matter seems to be pretty straight forward….(he wasn’t present at the meetings)…but that’s the ombudsman’s findings and we’re obliged (to accept them)….(as to the bullying)’I have to agree…..’given the repeated nature of these infringements….(then findings of misconduct and serious misconduct) ‘may not suffice’…..’under Section 81k of the Local Government Act (VCAT can find misconduct and serious misconduct but )‘the ongoing behaviour…justifies us asking the other parties to endorse the ombudsman’s recommendations as well’….’I would hope that the Secretary would send the right message about the importance’ (of the report). (As to recommendation 3 then the processes are ‘cumbersome’ and expensive for councils and when there is a councillor who is) ‘potentially far more disruptive than Cr. Penhalluriack could practically shut down the council ….make all discussions impossible’….

ASKED FOR TIME EXTENSION. Motion was carried. Penhalluriack asked for a division. ‘You really want a division on whether I should be allowed to talk any longer’. Penhalluriack answered ‘yes’. Tang raised a point of order that you can request a division on a motion

Against: Forge & Penhalluriack

Hyams: Perhaps Cr Forge (might like to see what Cr Penhalluriack) is doing before she puts her hand up next time.

PENHALLURIACK: Asked Hyams to withdraw the comment. Hyams asked ‘On what grounds” and Penhalluriack said that it was ‘rude’ and ‘not necessary’. Hyams responded that that wasn’t grounds for a point of order. But ‘I will withdraw’.

HYAMS: went on to reiterate that when a councillor is disruptive and could close down council that there are far ‘wider matters’ to be considered and that’s why there’s the recommendation to the Secretary.

PILLING: ‘I fully accept this Ombudsman’s report…seriousness of the report…many instances of councillor misconduct….

PENHALLURIACK: Started off by stating that people need to ‘look at background…arisen because Andrew Newton refuses to speak to me…..refuses mediation….(refuses to discuss) ‘the problem he obviously has with me….I feel that problem has existed ever since I was elected….made my life very difficult….bully in this area is not me…I am the victim of bullying….from all of the councillors ….ostracised me….forced me from my place of work…(Said that both the O’Neill report and Ombudsman’s report are based on) ‘opinion….who may be lying through their teeth….when you get in the witness box….you are named…subject to…cross examination….I have no idea who in this room has given evidence…ombudsman is a great institution….digs out corruption….I am not corrupt and I have never bullied anybody in this room. (Admitted to getting frustrated) ‘but I am not a bully’. (Went on to state that the ombudsman investigator (Mcullough) has) ‘quite a file’…..most unhelpful (in getting copy of meeting with him)….in my interview…..all I was asked about was the mulch shed….(not the other matters and he doesn’t know who raised them)….’I am the person who has been victimised in all this’ (didn’t have to go this far because council could have gone to mediation before O’Neill and Esakoff simply handed it over to council)…‘council resolution was to (go to mediation first and this didn’t happen)’.

LIPSHUTZ: didn’t want to comment on the report because ‘it speaks for itself…endorses (the recommendation because it is ‘general’….’where you have any councillor’ (causing problems and not like parliament)‘we’re a band of 9 councillors and we work together’….’when a councillor does not do so….intolerable situation...Local Government Act doesn’t do what should be done…’quick and easy solution’….allows the mess to…drag on….forever and ever…..(Commented on Penhalluriack’s claim that he was ostracised in that every councillor) ‘at one stage….tried to assit Cr Penhalluriack…..unfortunately (Penhalluriack says I’m right all the time and you people are wrong)…‘I reject absolutely that this is Mr Newton’s fault….’not about mediation’…’went as far as getting a report….unfortunate….let the law take its course….(we’ve got a system and have to abide by it right or wrong).

MAGEE: Stated that it’s been ‘going on for quite some time’. The recommendations will perhaps also go to VCAT after the Councillor Conduct Panel ‘that’s where we get the opportunity to question…(Penhalluriack has opportunity to)’present evidence himself’…’the evidence from both sides needs to be put together (and someone independent adjudicate). Stated that when all the evidence has been put forward that he’s looking forward to a decision, ‘a definitive answer’….’somewhere a defining line where we can accept the answers….at the moment I ….endorse the recommendations of the Ombudsman….(but also wanted the end of the process)

FORGE: Said last 17 months have been difficult and that she and Cr. Penhalluriack have ‘worked very closely’, and ‘every blow that he has been feeling I feel as well…(reiterated that at VCAT they can be cross examined and)’get an answer to these questions’….

MAGEE:Brought up point of order that he didn’t say anything about being cross examined but that Penhalluriack could ask questions.

TANG: Said that he thought councillors needed to explain in a council meeting ‘how they react and why…..ongoing process….tying to work with Penhalluriack’ (objected to the term ‘ostracise’ because he claimed that all councillors)’had tried in lengthy…conversations…..early…late….hardware store….tried to work with Cr Penhalluriack to achieve what he wants to do within the prism of the Local Government Act….to try and get the information that….(he wants and whether his motions are)’reasonable within the confines of theLocal Government Act’. Accepts the ombudsman’s findings because councillors have employed ‘abundant caution’…..trying to gather all the evidence before proceeding….(outside and putting all this to Penhalluriack)….’only after that process did council go outside….to resolve these issues…..flush out these issues….Cr Penhalluriack himself decided to go to VCAT….Ombudsman has obviously decided to independently investigate….(council didn’t think that Penhalluriack had a conflict of interest over mulch)…ombudsman is not in the position of a councillor….(time extension)….I accept the finding….notwithstanding that I may have taken a different position in the past….(Said that Penhalluriack’s claim that he wasn’t asked about all the recommendations/allegations that Penhalluriack would have got the ombudsman’s report in draft format to respond, same with internal investigation)…’was provided for….I agree with councillors who have said he has been disruptive….process needs to be resolved….agree with recommendations….it could have been resolved easier….given our obligations as councillors…..taken all reasonable steps we could….(now with the ombudsman’s report) ‘we can do nothing else’.

PENHALLURIACK: Asked that the Municipal Inspector’s report 15th March and 26th August 2010 ‘be incorporated into the minutes’. Pilling seconded. Tang asked why he wanted these documents and which versions since council got one version and Penhalluriack another one. Penhalluriack said that these documents ‘throw a different light….(on the obmudsman’s report reagarding the mulch and misuse of his position to enter the CEO’s office.)

HYAMS: Stated that there no compunction on anyone concerned about workplace safety ‘to undergo mediation’…(said he was aware of mediation in another council where the councillor ended up ramming an officer’s head into a wall)…”I don’t know that mediation is necessary…what is obligatory is for council to provide a safe workplace….(Penhalluriack claims that he’s been ostracised but it’s )unfortunate that (his behaviour has lead us to taking this aciton)…’the only criticism the obmudsman had of us is that we were too lenient on him….(reiterated how councillors had spent much time discussing these issues with Penhalluraick)….’we had an indepeendent expert come in….inappropriate behaviour…ombudsman (also found this)….”I hope that if VCAT comes to the same conclusion that we don’t hear they are also wrong….(voting isn’t about whether Penhalluriack is ‘liked’)….’very personable….’I’ve had a good relationship with him (most of the time)….our duty to look at this objectively….honour our obligations….

MOTION PUT: IN FAVOUR – Lipshutz, Lobo, Magee, Pilling, Tang, Hyams

Against: Forge & Penhalluriack.