Finance Minister Mathias Cormann continued to insist on Tuesday that sports grants were decided on April 4, despite evidence from the Audit Office that Bridget McKenzie and Scott Morrison were switching funding around into the caretaker period a week later.
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"I'm relating directly the advice that I have received from the horse's mouth," Senator Cormann told Senate estimates hearings on Tuesday, insisting he had a categorical assurance from Senator McKenzie.
Senator McKenzie signed an approval brief for the final round of $39 million of grants dated April 4. Senator Cormann says that was the final decision brief.
But on April 10, she emailed Mr Morrison's office with the list of projects she "intended" to fund, according to Auditor-General Grant Hehir.
Mr Morrison's office requested a change, the Audit Office told hearings on Monday. So by the time the approval brief was sent back to Sport Australia the next morning, 15 minutes after the caretaker period began, one project had been removed and another added.
The changes did not stop there. Four hours later, at lunchtime on April 11, Senator McKenzie sent more changes to Mr Morrison's office, this time removing one project and adding nine more. Ten minutes later, now four hours into the caretaker period, she sent the new spreadsheet with those changes to Sport Australia.
The Audit Office said the spreadsheets of approved funding were changed between April 4 and April 11 as Senator McKenzie's and Mr Morrison's office sorted out the final list of projects.
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But Senator Cormann said when the discrepancy over dates had been raised on Monday, he had spoken directly with Senator McKenzie.
"I spoke to Senator McKenzie because the allegation that was made ... quite inappropriately I felt, that somehow the brief had been backdated, which was not correct. Senator McKenzie gave me an unequivocal reassurance, no ifs no buts, that she signed the decision brief on the 4th of April."
She had travelled after that, explaining the six-day delay in sending the brief back to Sport Australia, but all communication with Mr Morrison's office after April 4 was about how and when the projects would be announced, Senator Cormann said.
"I don't have any knowledge beyond that," Senator Cormann said on Tuesday, insisting he stood by his evidence, despite the contradictory evidence on Monday evening from the Audit Office.
"I'm not aware of the basis on which the Auditor-General's office made the statement that they made," he said.
Labor Senator Katy Gallagher accused him of "choosing Senator McKenzie over the Audit Office". Senator McKenzie might have signed the decision brief on April 4 but she went on making decisions, Senator Gallagher said.
But Senator Cormann said he had no reason to doubt what Senator McKenzie had told him.
"I am at a disadvantage here because I'm not aware of the grounds and evidence on which the Auditor-General has made the statements they have," he said.
Kirsten Lawson
It's about the truth for me. That means asking questions. Then asking more questions. On the best days, we get answers.
It's about the truth for me. That means asking questions. Then asking more questions. On the best days, we get answers.
