Transparency International Australia is calling for the National Anti-Corruption Commission (NACC) to urgently investigate serious allegations of corruption linked to Australia’s offshore detention operations on Nauru.
Recent claims by new whistleblowers including Department of Home Affairs’ Derek Elias—alongside years of media reporting—allege over-inflated contracts, payments for non-existent services and even public money spent insuring luxury assets, suggesting systemic corruption.
“Corruption and weak governance have long cast a shadow over Australia’s detention centres on Nauru,” said Clancy Moore, CEO, Transparency International Australia.
“We hope the NACC is already investigating the conveyor belt of corruption allegations involving contractors involved in Australia’s detention centres and stress the importance of public reporting by the NACC.”
“Tax-payer funds lining the pockets of companies owned by bikie gangs to provided security services, and millions of dollars on insurance payments for fast cars, art and a luxury yacht owned by government contractors are just some of red flags that need to be examined.”
Transparency International Australia is therefore calling for the NACC to open—or confirm—an investigation and encourages the Australian Federal Police to examine any potential foreign-bribery and money-laundering risks arising from the allegations.
The NACC has extensive powers to detect, investigate and report on allegations of serious and systemic corruption issues involving government contractors. Section 33 of the NACC Act (Cth), requires a Commonwealth agency head who becomes aware of a corruption issue to refer the matter to the NACC.
The stakes are rising under the Australian Government’s latest agreement with Nauru, which reportedly provides an upfront payment of $408 million and ongoing annual support of $70 million to resettle former immigration detainees, with total costs forecast at $2.5 billion over 30 years.
TI Australia further urges the Government to publish the full terms of all contracts and subcontracts, mandate enhanced due diligence, criminal history, and beneficial ownership checks across prime and sub-contractors, and protect whistleblowers with safe and confidential channels.