About that political influence on domestic affairs on the part of foreign powers, Prime Minister Turnbull.....

According to Australian Prime Minister Malcolm Bligh Turnbull; "Foreign powers are making unprecedented and increasingly sophisticated attempts to influence the political process, both here and abroad."

He went on to excoriate the Labor Party in parliament last week with regard to its contacts with Chinese nationals.

This week the primary subject of Turnbull's verbal attacks announced his resignation from the Australian Parliament.

However, this week also brings news from Western Australia which demonstrates just how hypocritical is the prime minister’s political posturing.

Via @kimbakit

Then came this three days later.

Via @kimbakit

When it comes to close association with or susceptibility to foreign influence, Malcolm Turnbull is engaging in a classic example of the pot calling the kettle black.

By way of background…..

Political donations to the Liberal Party & fund raising at West Australian level involving The 500 Club and companies/individuals having ties to the People’s Republic of China in 2015-16:

The 500 Club (WA) - $15,000, $20,000, $20,000, $20,000, $20,000, $30,000, $55,000

Chaoshan No 1 Pty Ltd ATF Legpro 30 Unit Trust (Chinese billionaire Xiangmo Huang is a director) - $10,000, $20,000,

Hong Kong Kingson Investments (Australian-Chinese billionaire Chau Chak Wing) - $200,000, $200,000

Kingold Group (Chinese-born billionaire Chau Chak Wing) - $200,000

Political donations to the Liberal Party & fund raising at Federal level involving The 500 Club and companies/individuals having ties to the People’s Republic of China in 2015-16:

The 500 Club (WA) - nil

Hong Kong Kingson Investments - $400,000, $100,000, 10,000

Of course neither Western Australia nor the Liberal Party are alone in receiving political donations from Chinese interests and readers can click on this searchable database 
http://democracyforsale.net/search-aec/ to view declared donations from all sources going back to 1998-99.

The connection between political parties and big business which appears to be cemented by these donations has long been a troublesome aspect of federal and state election processes, with ABC News reporting in December 2016; Declared donations and payments to Australian political parties are about to top $1 billion, a new analysis of data shows.

Businesses with Chinese connection donated more than $5.5 million between 2013 and 2015 - a breakdown of these donations can be found here.

Then there is the matter of undeclared donations and other undeclared income.

According to GetUp!:

Australian law requires all payments to politicians over $13,200 to be publicly declared - an important public transparency measure to stop corruption.

But right now there are some gaping legal loopholes that see tens of millions of dollars funnelled into the pockets of our politicians with no oversight, no accountability.

By piecing together fragments of publicly available data, our research reveals the full extent of hidden 'Dark Money' flooding our political system…..

Last election the Liberal Party transparently declared only 13% of their total private income. 

The Liberal Party declared $8.98 million transparently, funnelled a further $5.5 million of donations through "affiliated entities", and listed $8.97 million as "other receipts". A full $45.9 million of their income was undisclosed Dark Money.

Last election the Labor Party transparently declared 21% of their total private income.  

Labor declared $10.4 million transparently and listed $15 million as "other receipts" (note: Labor listed all income from affiliated entities as "other receipts"). A full $24.4 million of their income was entirely undisclosed Dark Money.

Make no mistake, it is not the intention of the Turnbull Government to turn off the foreign donation tap, no matter what the current rhetoric. If NSW Independent Commission Against Corruption investigations have shown us anything, it is that politicians, political parties and vested interests are highly creative in how they deliver/receive banned political donations.

Mr. Huang Xiangmo becomes terse

After allegedly giving a number of large political donations to the Liberal, National and Labor parties, wealthy Chinese national and former chairman of the Australian Council for the Promotion of the Peaceful Reunification of China, Mr. Xiangmo of Yuhu Group Australia, grows tired of the media attention ………..

Herald Sun via @johhnybridge2

Mr. Xiangmo pictured with some of his many political acquaintances

Photographs sourced from Google Images

Is the Liberal Party of Australia taking a leaf out of Steve Bannon's playbook

This was a ‘news’ banner on the Liberal Party of Australia’s The Fair Go website on 27 June 2016:

The short eight sentence long spiel behind the login wall began with:

Where does Getup get its money from and what is the real agenda behind the bluster?

From Open Society to Podesta to The Sunrise Project, Avaaz to GetUp in Australia! There’s certainly been a lot of US money a-flowing toward Aussie Leftists groups. So, who is giving who how much and where is it all going?

And ended with this image:

However it did not disclose any “secret money trails” and appeared to base its claims in part on 'fake news' produced during the 2016 US presidential election and the political donations disclosures GetUp! (Getup Limited est. 29 April 2005) regularly submits to the Australian Electoral Commission which can be found on the commission’s website as well as on a GetUp! web page.

According to the staff writers at The Fair Go the villain of the piece is George Soros – one of the people Donald Trump likes to hate – who is supposedly nefariously funding GetUp! through Avaaz.

Of course no mention is made of the fact that two co-founders and current board members of GetUp! were later also co-founders of Avaaz, so there is an existing and acknowledged relationship which has seen these two groups work together on climate change campaigns.

Instead this little gem made it off a staff writer’s keyboard and onto the website:

Getup alone spent $10m on pro-Union, pro-Green, anti-development, anti-jobs agenda last year. They have been getting some help from American organisation Avaaz with $275,000 in donations over the last two years.

But where does Avaaz get their funding from? Open Society Foundation of course! 

All roads lead back to George Soros.

Small problem with the maths though. The figure for the last two Third Party Return of Political Expenditure forms submitted by GetUp! show zero donations from Avaaz in 2015-16 and a single $99,985 donation in 2014-15. Even if one goes back to the 2013-14 form, that included donation would only bring the Avaaz donation total to $195,605 over the last three financial years declared to date.

It should come as no surprise to find that Avaaz also publishes its US expenditure declarations which means that there is even less to The Fair Go’s secrecy claims. Avaaz received a general support grant in 2008-09 from the Open Society Institute (OSI est. 1979) and since then does not appear to have accepted donations from “foundations or corporations”.

As for George Soros and the Open Society Foundations (formerly OSI) – well that registered philanthropic organisation operating world-wide produces annual budgets which show what programs it is involved with and where. Australia is not one of the countries in which it has a presence and, apart from attending at least one international conference which happen to be held in this country and including Australia in its “Case Watch” series and the occasional report, it does not appear to be active here.

The 2016 Open Society Foundations budget showed expected expenditure of US$544.6 million and the 2017 budget expenditure is expected to come in at US$940.7 million. This money goes to small and medium sized organisations such as those providing advocacy, legal aid, assistance to refugees, early childhood development and education and food security in the face of climate change programs, as well as to grass roots activism.

Who would you believe when it comes to “secret money trails”? A political party (with its own political donation probity issues) which couldn’t even come up with an original design for a website which appears to be using the Steve Bannon approach to facts and is aping one of Donald Trump’s pet conspiracy theories, or the publicly available political donation disclosures GetUp! has been submitting since 2006-07.

IN MATES WE TRUST: that all too familiar stench begins to drift across Parliament Drive once more

Prime Minister John Howard with Bob Day then a Liberal donor and party figure

The Sydney Morning Herald, 11 September 2008

On 17 May 2017The Guardian reported on the matter of the eligibility of Family First’s Bob Day¹ to sit in the Australian Senate:

A majority of the court found that Day was ineligible from 26 February 2016. He was paid close to $130,000 between then and his November resignation.

Ryan said Day had been warned he was required to repay the salary and superannuation he earned as a senator, and similar letters had been sent to former One Nation senator Rod Culleton.

Barely eight days pass and then……

ABC News, 25 May 2017:

The Federal Government has agreed to waive debts owed by former senator Bob Day, after receiving advice that he may not be able to repay the money.

Special Minister of State senator Scott Ryan told a Senate estimates committee he decided to waive the debts in line with decisions made in similar cases in the past.

In April, the High Court ruled Mr Day was not validly elected to the Senate last year, due to a complex arrangement involving a building previously owned by Mr Day being leased by the Commonwealth.

It was recently revealed the Senate and Department of Finance were pursuing Mr Day and fellow disqualified senator Rod Culleton, seeking the repayment of their salaries and other allowances.

Both men received letters informing them of the situation, potentially owing hundreds of thousands of dollars between them.

Senator Ryan told the estimates hearing Mr Day took up an option to formally request the debt be waived.

The Minister said he was advised pursuing the debts may not be fair.

"It may be seen to be inequitable for the Commonwealth to recover the debt, given Mr Day performed his duties as a senator in good faith," he said.

"The [advisory] committee also noted Mr Day's personal financial circumstances."

Remembering of course that the Liberal Party and its financial backers have a history of propping up Mr. Day…….

The Sydney Morning Herald, 4 February 2017:

A wealthy fundraising body linked to the Liberal Party has quietly begun bankrolling the organisations behind two of the Coalition's biggest crossbench supporters in the finely balanced Senate.

The Cormack Foundation has donated more than $40 million to the Liberal Party over the last 18 years – including more than $3 million in 2015-16 – making it one of the party's biggest benefactors.

The foundation is an investment company and "associated entity" of the Liberals that donates dividends from its share portfolio. It has stakes in a number of blue-chip companies – including the big four banks, Rio Tinto, BHP Billiton, Telstra and Wesfarmers – raising about $3.9 million last year.

But for the first time in its 30-year history, the foundation last year donated to parties other than the Liberals – giving $25,000 each to the conservative Family First and the libertarian Liberal Democrats, according to the Australian Election Commission annual returns released this week.

The foundation has eight listed shareholders, who are also the company's directors. They include Rupert Murdoch's brother-in-law John Calvert-Jones, former Reserve Bank board member and Business Council of Australia president Hugh Morgan and former ANZ chairman Charles Goode.

The donations came in a year that the Abbott and then Turnbull governments were highly reliant in the Senate on the votes of Family First's Bob Day and the Liberal Democrats' David Leyonhjelm….

It's believed to be the first occasion an "associated entity" has linked itself to more than one political party at a time.

ABC News, 2 November 2017:

The Abbott government ignored the advice of its own bureaucrats when it approved the lease agreement with former Family First senator Bob Day regarding his Adelaide electorate office in 2014.

Documents obtained under Freedom of Information reveal the Finance Department advised the Government not to allow Mr Day to relocate his electorate office from the Adelaide CBD to a building he owned in Kent Town, warning it had "concerns about how such a transaction might be perceived"……

Despite this advice, the then special minister of state, Michael Ronaldson, wrote to Mr Day in March 2014 telling him he was willing to consider the arrangement as long as the Kent Town property met Commonwealth standards and that no rent would be charged to the Commonwealth until the lease ended on the CBD office space.

Mr Day sold the building to Fullerton Investments and last December, the company entered into a lease agreement with the Commonwealth under which no rent would be paid……

Mr Day's company loaned Fullarton Investments money to make the purchase — and are ultimately liable for a National Australia Bank mortgage on the building.

Between 2004 and 2006 Bob Day’s company Homestead Homes donated $9,937 to the Liberal Party in South Australia. It is understood that the donation tally may be higher as Day owned more than one company and at least one trust which may have contributed to party coffers.

NOTES

1. Robert (Bob) John Day AO “was a long-time member of the Liberal Party of Australia (1987- 2008) occupying various roles including Federal Electorate Committee (FEC) President, Hewson for PM Campaign Committee (Industry) Chairman, Delegate to the Party's State Council and was a recipient of the Liberal Party's Meritorious Service Award in 2006.

[In 2008] Day resigned his membership of the Liberal Party citing '"manipulation of the pre-selection process to ensure the pre-selection of one particular candidate" over the other candidates. Day's allegations were backed up by other Liberal Party members.

Immediately following his resignation, Bob Day was invited to join Family First as its candidate in the Mayo by-election receiving 11.4% of the primary vote. Day was elected Party Chairman in November 2008 and in April 2009 was endorsed as Family First's Lead Senate Candidate for the 2010 Federal election. In 2013 he stood as the Party’s lead Senate candidate in the Federal election and was elected as a Senator for South Australia.”

In April 2017 it was announced that Family First has joined forces with former Liberal Senator Cory Bernardi, to boost his fledgling Australian Conservatives party.

How is Trump faring under the weight of six separate investigations?

The U.S. Federal Bureau of Investigation (FBI) has been investigating Russia’s involvement in the U.S. presidential campaign since July 2016 and in December that year the U.S. Office Of National Intelligence began a review of Russian activities and intentions in recent U.S. elections (report). 

The U.S. Central Intelligence Agency (CIA) reportedly began an investigation into Russia’s potential meddling in the US election last year as well.

In January 2017 the U.S. Senate Intelligence Committee began an ongoing investigation into Russian involvement in the 2016 election campaign.

By March 2017 the U.S. Senate Committee on the Judiciary’s Subcommittee on Crime and Terrorism had commenced hearings in an investigation into “Russian Interference in the 2016 United States Election”.

In addition to this it is reported that U.S. Treasury Department’s Financial Crimes Enforcement Network is investigating payments involving Trump campaign advisor Paul Manafort and bank accounts in Cyprus related to money-laundering allegations and, that in April 2017 the Department of Defense Inspector General commenced an investigation to determine if Lieutenant General (Retired) Flynn accepted payments in violation of the Emoluments Clause, implementing laws, Defense regulations, including payments from Russian entities.

UPDATE 10.13am 18 May 2017- matters are moving fairly quickly and the U.S. Full House Committee on Oversight and Government Reform has set a 9.30am 24 May 2017 hearing date to investigate if President Trump interfered in an FBI probe and, earlier today Associated Press reported:

7:30 p.m. [US Eastern Daylight Time, 17 May]

Former FBI Director Robert Mueller says he accepts the responsibility of being appointed as a special counsel to oversee a federal investigation into potential coordination between Russia and the Trump campaign to influence the 2016 election.

In a short statement, Mueller says, “I accept this responsibility and will discharge it to the best of my ability.”

His law firm, WilmerHale, says he resigned immediately upon his Wednesday appointment by the Justice Department. Spokespeople declined to comment further.

The appointment came amid a growing Democratic outcry for someone outside the Justice Department to handle the politically charged investigation.

It follows the revelation Tuesday that fired FBI Director James Comey wrote in a memo that Trump had asked him to end an investigation into former national security adviser Michael Flynn. End of update.

U.S. President Donald Trump’s public reaction to these investigations has been confined to furious tweeting and disjointed justifications in the odd speech or interview. Although his peremptory sacking of three bureaucrats, New York Federal Prosecutor Bharara, Acting U.S. Attorney General Yates and FBI Director Comey, also appears related to the fact that the investigations are just not going away.

On 12 May 2017 a beleaguered Trump released this one-page letter from a law firm¹ while once again tweeting that the story was fabricated. The letter has a narrow focus on transactions listed in his personal tax returns as it tries to avoid the elephant in the room:

1. MOSCOW, May 2, 2016: Morgan Lewis has been recognized by Chambers & Partners’ 2016 Chambers Europe guide as Russia Law Firm of the Year. The prestigious honor was announced at the publication’s recent annual awards dinner in London, where firms from 24 countries were recognized. See: https://www.morganlewis.com/news/chambers-partners-names-morgan-lewis-as-russia-law-firm-of-the-year. 

The Wall Street Journal reported on 12 May 2017:          

A unit of the U.S. Treasury Department that fights money laundering will provide financial records to an investigation by the Senate into possible ties between Russia and President Donald Trump and his associates, the Wall Street Journal reported on Friday, citing people familiar with the matter.

The Senate Intelligence Committee asked for the records from the Treasury’s Financial Crimes Enforcement Network late last month, the Journal cited the people as saying.

One person said the records were needed to decide whether there was collusion between Trump associates and Russia during the 2016 campaign, the Journal said.

Media outlets in Britain and the United States have also been hunting for information and been joined by a Dutch film company whose 1:22hr made-for-television documentary, The Dubious Friends of Donald Trump - Parts 1 & 2, became available on the Internet this month.

On 10 October 2016 Forbes published an article which featured one of the individuals found in that documentary:

Felix Sater is not a name that has come up much during the presidential campaign. That he has a colorful past is an understatement: The Russian-born Sater served a year in prison for stabbing a man in the face with a margarita glass during a bar fight, pleaded guilty to racketeering as part of a mafia-driven "pump-and-dump" stock fraud and then escaped jail time by becoming a highly valued government informant.

He was also an important figure at Bayrock, a development company and key Trump real estate partner during the 2000s, notably with the Trump SoHo hotel-condominium in New York City, and has said under oath that he represented Trump in Russia and subsequently billed himself as a senior Trump advisor, with an office in Trump Tower…..

It wouldn't have taken much vetting to get the scoop on Sater. FORBES retained a highly regarded global-risk-assessment firm to conduct a background check, using only what was available to it in 2007--the year the Trump-Bayrock relationship was promoted. The investigative firm (it asked not to be named for fear of political repercussions) discovered many facts that we're revealing here and others that have come out before, including felony convictions and organized crime ties. Such due diligence on Sater could have been done for $5,000.

In April 2017 The Wall Street Journal reported that former Bayrock manager, USSR-born Sater and wealthy, Kazakhstan-born property developer and Bayrock principal Tevfik Arif are in a nasty legal dispute that has Sater suggesting he could publicize the other’s controversial past—and warning that the bad headlines could tarnish the president.

Trump is a former partner in certain relevant business ventures involving Bayrock, Arif and Sater - including Bayrock being an investor in Trump SoHo in 2005. Trump and unnamed co-defendents settled a case involving alleged fraud related to the sale of SoHo condos in 2011.

 In 2008 Donald Trump Jr publicly admitted these links to Russian financing:

“And in terms of high-end product influx into the US, Russians make up a pretty disproportionate cross-section of a lot of our assets; say in Dubai, and certainly with our project in SoHo and anywhere in New York. We see a lot of money pouring in from Russia. There’s indeed a lot of money coming for new-builds and resale reflecting a trend in the Russian economy and, of course, the weak dollar versus the ruble”.

In March 2017 in Richard Roe et al v United States et al a motion to intervene was lodged in an attempt to have the court unseal judicial records in part on the grounds:

 “To seek to vindicate the public’s right of access to the record in this proceeding, which includes documents critical to understanding a story of pressing political consequence: President Donald Trump’s connection to Felix H. Sater, who is well known as a conduit to Russian oligarchs and organized crime”.

So how is President Trump coping with information coming out of either these six U.S. investigations or civil court cases and the resultant media storm?

Trump is quoted as telling three Time magazine journalists that “I’m now consumed by news.” He is also various described in mainstream media as being frustrated, visibly angry or seething with rage, as well as complaining in a Fox News
interview of “a level of hostility that’s in­cred­ible, and it’s very unfair.”

Calls for Trump's impeachment are beginning to mount.

BACKGROUND

These are two of the matters Treasury has investigated previously with regard to Donald Trump.

United States Department of Treasury, Financial Crimes Enforcement Network, media release, 6 March 2015:

WASHINGTON, DC – The Financial Crimes Enforcement Network (FinCEN) today imposed a $10 million civil money penalty against Trump Taj Mahal Casino Resort (Trump Taj Mahal), for willful and repeated violations of the Bank Secrecy Act (BSA). In addition to the civil money penalty, the casino is required to conduct periodic external audits to examine its anti-money laundering (AML) BSA compliance program and provide those audit reports to FinCEN and the casino’s Board of Directors.

Trump Taj Mahal, a casino in Atlantic City, New Jersey, admitted to several willful BSA violations, including violations of AML program requirements, reporting obligations, and recordkeeping requirements. Trump Taj Mahal has a long history of prior, repeated BSA violations cited by examiners dating back to 2003. Additionally, in 1998, FinCEN assessed a $477,700 civil money penalty against Trump Taj Mahal for currency transaction reporting violations.

"Trump Taj Mahal received many warnings about its deficiencies," said FinCEN Director Jennifer Shasky Calvery. "Like all casinos in this country, Trump Taj Mahal has a duty to help protect our financial system from being exploited by criminals, terrorists, and other bad actors. Far from meeting these expectations, poor compliance practices, over many years, left the casino and our financial system unacceptably exposed."

Trump Taj Mahal admitted that it failed to implement and maintain an effective AML program; failed to report suspicious transactions; failed to properly file required currency transaction reports; and failed to keep appropriate records as required by the BSA. Notably, Trump Taj Mahal had ample notice of these deficiencies as many of the violations from 2012 and 2010 were discovered in previous examinations.

Director Shasky Calvery expressed her appreciation to the Internal Revenue Service, Small Business/Self-Employed Division, which performed the examinations of Trump Taj Mahal, for their contributions to the investigation and for their strong partnership with FinCEN. She also thanked the Commercial Litigation Branch of the U.S. Department of Justice for their assistance with this enforcement action.

Trump Taj Mahal petitioned for bankruptcy in September 2014. That bankruptcy remains pending. The Bankruptcy Court approved of Trump Taj Mahal’s settlement on March 4, 2015.

FinCEN seeks to protect the U.S. financial system from being exploited by illicit actors. Its efforts are focused on compromised financial institutions; third-party money launderers; transnational organized crime; terrorist and other security threats; significant fraud; and threats to cyber security. FinCEN has a broad array of enforcement authorities to target both domestic and foreign actors affecting the U.S. financial system.

FinCEN's mission is to safeguard the financial system from illicit use and combat money laundering and promote national security through the collection, analysis, and dissemination of financial intelligence and strategic use of financial authorities.

NOTE: Trump Taj Mahal Associates, LLC ,Trump Entertainment Resorts, Inc., Trump Entertainment Resorts Holdings, L.P., Trump Plaza Associates, LLC, Trump Marina Associates, LLC, Trump Entertainment Resorts Development Company, LLC, TER Development Co., LLC, and TERH LP Inc. filed for bankruptcy protection on 9 September 2014 in the United States Bankruptcy Court in the District of Delaware (Bankr. Ct. Dist. Del. Case No. 11-12103 (KG.

United States Department of Treasury, Financial Crimes Enforcement Network, media release, 28 January 1998:

The Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) announced today that Trump Taj Mahal Associates (TTMA) has paid a civil money penalty of $477,000 for failing to file reports required by the Bank Secrecy Act (BSA). TTMA is located in Atlantic City, New Jersey, where it operates the Trump Taj Mahal Casino Resort.

The $477,000 settlement amount is for BSA violations which occurred at the casino from April 1990 through December 1991. The violations are based on failures to file Currency Transaction Report by Casino forms (CTRCs) within the time period prescribed by the BSA.TTMA was cited for these BSA violations as the result of an Internal Revenue Service (IRS)compliance examination.

Settlement of the final penalty amount was influenced by TTMA’s otherwise laudable BSA compliance programs and its cooperation with Treasury Department Officials during the casino’s IRS examination and final settlement of the matter with FinCEN.

During the 12 years that casinos have been required to comply with Treasury’s anti-money laundering requirements, the industry has experienced dramatic growth and expansion. Today, close to $500 billion a year is wagered at casinos in the United States.

In announcing the penalty, FinCEN’s Director Stanley E. Morris, indicated that BSA compliance by casinos is essential to Treasury’s efforts against money laundering and other types of financial crime. "It is Treasury’s intention to ensure that casinos -- including the ones located in the newer gaming jurisdictions -- are complying with Treasury’s preventive programs," Morris said. "Casinos are cash-intensive businesses, and many offer a wide variety of financial services, similar to banks. Without effective safeguards, they may be vulnerable to money laundering."

Director Morris also commended the IRS’s Examination unit in Mays Landing, NJ for its BSA examination of TTMA and its attention to BSA compliance by the casinos located in Atlantic City, NJ.

The BSA requires casinos and other financial institutions to file reports of cash transactions in excess of $10,000 and to institute preventive compliance programs to safeguard against abuse of its financial services by casino customers. The reporting and recordkeeping information required by the BSA are extremely useful to the government’s efforts in criminal, tax and regulatory investigations and proceedings.

Today’s penalty is the twelfth levied by Treasury against casinos in Atlantic City, New Jersey (NJ). With this penalty, Treasury has collected almost $2.2 million in civil penalties against the 12 casinos in Atlantic City over the past five years.

One Nation: political 'sins' like chickens come home to roost

On 3 March 2017 ABC Television ran a Four Corners program titled “Please Explain”.

It opened with presenter Sarah Ferguson stating:

Welcome to Four Corners.

Nine months ago, Pauline Hanson was riding high. Elected to the Senate, along with 3 of her One Nation colleagues, she created out of thin air a powerful new block on the crossbenches of the fractious upper house.

It was an extraordinary comeback for a woman whose first venture into politics more than twenty years ago ended in ignominy, dumped from parliament, and jailed after a conviction for electoral fraud that was later overturned on appeal.

Last month, in the Western Australian State election, Hanson's One Nation Party won three upper house seats but polled far lower than predicted.

Bitter party infighting in Western Australian and Queensland has seen former One Nation powerbrokers and disgruntled candidates come forth to condemn the woman they'd supported and pinned their hopes on.

It was this kind of internal division that helped pull One Nation apart in the late 1990's.

And just like 20 years ago there are claims that a powerful advisor has too much sway over Pauline Hanson - her chief of staff James Ashby.

So are the wheels coming off the One Nation wagon?

Reporter Caro Meldrum-Hanna ventures inside One Nation for tonight's report.

Then well into the broadcast this went too air:

CARO MELDRUM-HANNA: Ian Nelson, a 20-year party veteran was the State President, and also the Treasurer. He resurrected Pauline Hanson in 2014 and returned her to politics.

But after her election success, both he and Saraya Beric were left without a job.

The losers of a bitter internal power struggle that's now split One Nation.

CARO MELDRUM-HANNA: Why are you no longer working for One Nation?

IAN NELSON: Basically, James Ashby, two words, James Ashby. He couldn't have me around, I was warned, I was warned months before it happened, so James Ashby couldn't have me around and he just poisoned Pauline against me.

SARAYA BERIC: I'm very disappointed in the person he turned out to be.

CARO MELDRUM-HANNA: James Ashby seen here on election night, became Pauline Hanson's right hand man very quickly.

To understand his meteoric rise, you have to go back to late 2014.

When Ian Nelson says James Ashby rang him out of the blue, with an irresistible offer: Cut price professional printing for federal and state election campaigns for the entire party.

CARO MELDRUM-HANNA: Did you run any checks or . . .

IAN NELSON: No.

CARO MELDRUM-HANNA: On who James Ashby was?

IAN NELSON: No. Everybody could blame me for that, no I didn't, I just thought what a kind offer, I've had you know, I have offers simular but this one was a bit funny.

CARO MELDRUM-HANNA: A quick online search would have revealed James Ashby is no stranger to controversy.

In 2012, he accused his then boss, speaker of the house Peter Slipper, of sexual harassment.

Ultimately James Ashby didn't pursue the case, but it was one of the ugliest political scandals in recent times.

IAN NELSON: I was there to watch Pauline's back and, when I had time I was going to vet people, before they get too close to Pauline but I absolutely failed miserably on that one.

CARO MELDRUM-HANNA: You failed to vet James Ashby?

IAN NELSON: Yeah. Had I have known what I know today, there was no way I would've put him in, let him anywhere near her.

CARO MELDRUM-HANNA: In early 2015, James Ashby was appointed to the party's executive.

SARAYA BERIC: James was looking at different ways to promote Pauline and the party and he came up with the idea of getting an aeroplane, a little plane that she could get around logistically, and you know he said the media will go for it, it was a bit of a gimmick and I actually agreed with him.

CARO MELDRUM-HANNA: How the party managed to pay for the extravagant purchase has remained shrouded in secrecy.

PAULINE HANSON, 19 JANUARY, 2017: We have never received huge donations from anyone in all the time. Our donations come from the small people.

CARO MELDRUM-HANNA: One of the party's biggest recent donors is wealthy Victorian property developer, the director of VicLand Corporation, Bill McNee.

Four Corners has obtained emails revealing how he contacted One Nation offering financial support.

One Nation's head office responded in February 2015.

EMAIL, 27th February 2015: Pauline ... would like to meet with you if you are still able to travel to QLD. May I also ask for your phone number to pass on to Pauline?'

CARO MELDRUM-HANNA: Bill McNee wrote back:

EMAIL, 27TH February 2015: 'I would be delighted ... I would like to become a major financial supporter of your party...Let me know when suits for me to come up and meet with you all.'

CARO MELDRUM-HANNA: Bill McNee followed up again two weeks later, keen to meet:

EMAIL: 16 March 2015: Sorry to be pushy...I'm so eager to offer support to a party that has the courage to stand up for ordinary Australians and give us a voice.

CARO MELDRUM-HANNA: They met one month later on the 11th of April 2015 at Pauline Hanson's home for a roast dinner. Ian Nelson was there.

CARO MELDRUM-HANNA: Did James Ashby ask Bill McNee for a plane?

IAN NELSON: He just kept saying I'm a pilot, you know w- we should be flying Pauline around and and then Bill said, 'Well, we'll have to get you a plane then'. That's how that conversation went.

CARO MELDRUM-HANNA: Two days later James Ashby wrote this text message to a party official:

TEXT MESSAGE, 13 April 2015: We need to talk to Bill about funding it.

CARO MELDRUM-HANNA: The official responded:

TEXT MESSAGE: 5 May 2015: 'We had a good chat with Bill. I think Pauline's going to go for the plane'

CARO MELDRUM-HANNA: Eight days later, donor Bill McNee sent this email to Pauline Hanson and James Ashby:

EMAIL, 13 May 2015: 'James we will sort out the plane tomorrow as well.'

CARO MELDRUM-HANNA: And after that message was sent between James Ashby and Bill McNee did a plane arrive?

IAN NELSON: Yes, very shortly afterwards, brand new Jabiru.

CARO MELDRUM-HANNA: How was that funded- the purchase of that aeroplane?

IAN NELSON: Well, after Bill McNee said, 'Yes we'll have to get you a plane', to my understanding that means, well all right, I'll buy you a plane. But as it turns out, Bill McNee didn't buy the plane, but as I understand it, he transferred the funds to James Ashby, not the Party, not Pauline, but to James Ashby.

CARO MELDRUM-HANNA: Bill McNee has denied funding the purchase of the plane.

He's told Four Corners: "There has been no financial support or assistance to any political party outside what is publicly disclosed and already well known."

CARO MELDRUM-HANNA: Ian Nelson, the party's state treasurer, says he asked Pauline Hanson to explain how the purchase of the plane had been funded.

IAN NELSON: I said where's the plane, there's no evidence of it anywhere, whose plane is it and she said it's my plane, I said fine, okay, well then, you've got to declare it and she said, 'No, don't worry about it, don't worry about it'. I said 'Well, did Bill McNee buy that plane for the party, did he buy it for you, or did he buy it for James Ashby, and she just looked at me and walked away.

CARO MELDRUM-HANNA: Four Corners has obtained a copy of these 2015 insurance documents for the Jabiru plane.

They confirm the plane was insured in James Ashby's name. It's listed purpose? Business.

CARO MELDRUM-HANNA: What is the primary purpose or use of that plane?

IAN NELSON: The One Nation Party. To ferry Pauline around, to the little towns and properties.

CARO MELDRUM-HANNA: Was that gift declared?

IAN NELSON: No.

CARO MELDRUM-HANNA: Under the rules, should that have been disclosed?

IAN NELSON: If I did it, yes I would've. If I'd had anything to do with the transaction. I said, 'Yes disclose it for heaven's sakes, because it's been used to ferry Pauline Hanson around the state, so it's really a party matter, so it should've been disclosed.

CARO MELDRUM-HANNA: The acquisition of the plane wasn't the only thing to worry party Treasurer Ian Nelson.

In 2015 Bill McNee's company, VicLand Business, made donations totalling almost $70,000 to One Nation.

When it came time to declare them, Ian Nelson says James Ashby rang him, questioning the way he'd declared the donations to the Queensland Electoral Commission.

IAN NELSON: You know, he said this is confidential, all these matters are confidential and ah they they're for our business only and I said no, that's not quite right, the rules and regulations state that we have to declare any amount of money over a thousand dollars, we have to declare it, and he said well can't you just put 'anonymous donor'? And I said, no, you can't do that, I'll end up in jail.

CARO MELDRUM-HANNA: To be clear, James Ashby asked you to list a donor as anonymous instead of declaring the name?

IAN NELSON: Yes.

CARO MELDRUM-HANNA: Rather than disclosing who it is, in contravention . . .

IAN NELSON: In contravention of all the rules and regulations, yes. Later on, Pauline had a bit of a go at me about the same thing.

I said, 'You've got to declare everything', and she just kept calling me an obstructionist, you know, 'Why are you doing it like this?' They just don't understand, and now they're running a party, so God help them all.

And the chickens began flying back to the roost.

The Sydney Morning Herald, 4 April 2017:

On Tuesday, Labor Senator Murray Watt wrote to Australian Electoral Commission head Tom Rogers to investigate whether the matters raised on the program should be referred to the Commonwealth Director of Public Prosecutions.

"The program contained serious allegations that PHON, Pauline Hanson and her Chief of Staff, James Ashby, may have breached financial disclosure obligations under the Commonwealth Electoral Act," Senator Watt said in his letter.

"In the broadcast, former party treasurer Ian Nelson alleges that PHON failed to declare a significant donation from property developer Bill McNee, which the party used to fund the purchase of a Jabiru light aircraft. According to the manufacturer's website, the cost of a new Jabiru light aircraft can exceed $100,000."

Senator Watt said the allegations were "very serious".

"As you are aware, a breach of financial disclosure obligations under the Act may be a criminal offence," he said.

"Furthermore, any attempt to subvert these critical measures, which seek to ensure transparency and accountability in campaign financing, threatens to undermine public confidence in our system of democracy.

"I ask you to investigate these serious allegations, and refer them to the Director of Public Prosecutions, if appropriate."

A spokeswoman for Special Minister of State Scott Ryan said he had spoken to the AEC about the program but had not yet requested an investigation.

Senator Ryan will hold a follow-up conversation with AEC officials over coming days, she said. 

Activist group GetUp! has also sent a separate request to the AEC to investigate the matter.

4:02pm

Following a request on Tuesday from Labor senator Murray Watt, an AEC spokesman said: "The AEC is aware of allegations made on Monday evening's Four Corners  program and through other media outlets.

"This information is now being reviewed in the context of the disclosure provisions of the Commonwealth Electoral Act 1918."

The spokesman said the AEC undertakes regular compliance reviews and would consider "information placed in the public domain" as part of its inquiries.

* Cartoon by Pat Oliphant