A trustee of a "slush fund" linked to officials of the NSW Electrical Trades Union signed a cheque for $60,000, but kept no record of how it was spent, the royal commission into unions has heard.
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The Royal Commission into Trade Union Governance and Corruption is this week investigating a $500,000 loan the ETU made to the NSW ALP in 2010 and has heard conflicting evidence about whether it was made in secret, against the union's rules.
During cross examination, Geoffrey Prime said he signed a $60,0000 cheque as a trustee for a slush fund known as the Officers Fund. Mr Prime said the cheque was for the ETU NSW re-election campaign, but he was unable to answer questions about how it was spent.
Asked who cashed the cheque on July 15, 2011, Mr Prime said could not say.
Evidence of bank records tabled before the commission show the cheque was cashed into small denominations including $5000 in $5 notes and $35,000 in $50 notes.
Asked why these denominations were wanted, Mr Prime said: "I don't know".
Mr Prime said he had no knowledge of the cheque being discussed at a meeting of the ETU caucus.
After admitting he did not know why the cheque was cashed or who had cashed it, counsel assisting the royal commission, Jeremy Stoljar said: "I thought you were one of the trustees, Mr Prime?".
"That's correct," Mr Prime responded.
"You didn't concern yourself with questions of that kind?" Mr Stoljar said.
"No," Mr Prime answered.
Mr Stoljar put it to Mr Prime that the $60,000 in cash was put into a "black tin" held in the ETU office.
"I'm unaware of the black tin," Mr Prime said. "I don't recall a sum of $60,000 being put into a black tin."
Asked what happened to the $60,000, Mr Prime said he "would have thought that it was used in our election re-election campaign".
"But where did it physically go, Mr Prime?" Mr Stoljar asked.
"I can't answer that," Mr Prime said.
"You've got no idea. You didn't think to ask anybody, gee, where did the $60,000 go?," Mr Stoljar said.
"No," Mr Prime said.
Mr Prime could not answer questions about who approved the cheque or when that was done.
He could not say how the $60,000 was dispersed, other than to say it had gone to "expenses".
Questioned about another cheque for $50,000 made out to "club victory", Mr Prime said it was used to fund an election campaign in opposition to the then ETU Victoria secretary, Dean Mighell.
However, Mr Prime said he was unable to shed any light on "precisely" how the $50,000 was spent.
