EAST PILBARA SHIRE SAYS CONTROLS TIGHTENED AFTER $5M CORRUPTION ALLEGATIONS
By Zoe Oliver
Shire of East Pilbara President Anthony Middleton. Credit: The Kimberly Echo.
The Shire of East Pilbara says it has tightened procurement controls after alleged corruption involving $5 million in council contracts, acknowledging gaps in its procedures.
Speaking to Ngaarda Media, Shire President Anthony Middleton said the council’s chief executive reported the suspected misconduct to the Corruption and Crime Commission, and changes began well before the investigation became public.
“There were some gaps, absolutely, within our policies and procedures,” Mr Middleton said.
WA Police allege a Shire employee corruptly awarded contracts to two Victorian-based companies between October 2021 and December 2023, deliberately shutting other legitimate businesses out of competing.
Police allege the companies were controlled by a 40-year-old man who paid the employee more than $50,000 in gratuities in exchange for the contracts.
The man faces eight counts of public officer acts corruptly in performance or discharge of functions. He appeared in Perth Magistrates Court on October 26 and is next due to appear on February 10, 2027.
Mr Middleton said local businesses had raised concerns with elected members, who passed them to the chief executive.
He said the Shire had cooperated with investigators and strengthened procurement controls, contract oversight and governance arrangements.
The allegations remain before the court, and the police have not established whether ratepayers suffered a financial loss. However, when asked whether ratepayers had lost money, Mr Middleton said the council believed the contracted work had been delivered.
“We don’t believe that any of the ratepayers were out of pocket,” he said.
Mr Middleton said giving local businesses a fair opportunity to compete remained a priority, pointing to a recently amended local procurement policy.
“We’ll continue to do that to ensure that local businesses still have a fair and equitable opportunity to work for us,” he said.
The cooperative investigation by WA Police and the Corruption and Crime Commission is ongoing and the Shire continue to support them to ensure the local government can rebuild trust with community.