The Australian corruption inquiry into Catholic Schools NSW has sparked fresh concerns about the misuse of taxpayer funds. At the centre of the probe are allegations that nearly A$3.8 billion in government funding – approximately 80% of the budget for the organisation overseeing almost 600 schools – may have been channelled towards illegal political donations to the Liberal party.
According to investigators, Dallas McInerney, the Chief Executive of Catholic Schools NSW, orchestrated and approved these alleged donations under the guise of 'branch stacking' – a practice involving the recruitment or renewal of party members. Trevor Cobbold, a former Productivity Commission economist and convenor of Save our Schools, stresses that government departments cannot afford to remain passive in this matter, highlighting their distinct responsibility to ensure public money is spent appropriately.
Cobbold advocates for a joint audit of Catholic Schools NSW's financial records, citing the significant proportion of funding derived from federal and state government sources. His call has been echoed by Chris Bonnor, former president of the NSW Secondary Principals Council, who points out the unequal obligations, regulations, and accountabilities between public and private sectors in education.
The New South Wales Greens have also joined the chorus demanding an independent audit, further arguing that any alleged misuse of public funds is unacceptable. However, Premier Chris Minns has stated his government will not conduct a premature audit, opting to await the outcome of Icac's investigation before taking action. Meanwhile, Liberal leader Kellie Sloane expressed trust in Icac's work, but declined to comment further.