Barristers Launch Broadside at ACU; Basketball League Owners Hits Back with ‘Grievance Notice’
‘Barristers Launch Broadside at ACU; Basketball League Owners Hits Back with ‘Grievance Notice”, published in Business, the Australian
27 March 2025
It was front page news in December – on Christmas Day, no less, a deadzone for headlines of any kind, even the landing of alien spacecraft – that the Australian Catholic University was facing a compliance probe from the country’s higher education regulator, known as TEQSA.
This was bad news for the university. Embarrassing, consequential, and it broke days after TEQSA’s CEO, Mary Russell, emailed a shopping list of grievances to ACU vice-chancellor Zlatko Skrbis.
Her correspondence warned that if questions weren’t satisfactorily answered, the university’s bid for re-registration could be placed in jeopardy. Nearly four months later, that inquiry continues, the decision on registration pending.
And now comes an intriguing development. A bevy of barristers and publicly notable figures have put their names to a 20-page letter addressed to Russell, at TEQSA, outlining their own litany of concerns with why ACU may have breached the “standards for continued registration”.
And they’re not short of clout, either. They include former NSW attorney-general Greg Smith SC, Jeffrey Phillips SC and Margaret Cunneen SC, NSW shadow treasurer Damien Tudehope, and barristers Gray Connolly, Philippe Doyle Gray and Sophie York.
“We believe,” they write, “that, in the current circumstances, ACU is not a candidate for automatic renewal of its registration and should be subject to a conditional renewal of registration. This should be for a period of three years rather than seven years.”
Armed with information provided by current and former ACU officials, this contingent says it wrote to ACU’s leadership months ago urging an independent investigation of these whistleblower complaints. The university rejected that proposal.
“At this point we are concerned that the only way to restore confidence will be a public inquiry into these threshold standards and the governance culture at the
university,” the letter says.
Matters highlighted include last year’s shambolic appointment and termination of – Professor Kate Galloway, the university’s Dean of Law, over her history of pro-
abortion positions in academic papers, an outcome that led to a confidential settlement of almost $1.5m in compensation.
“The use of public monies to remedy a hiring mistake by the vice chancellor due to religious considerations is beyond the appetite of the taxpayer, the ACU community and we respectfully submit should similarly be so for TEQSA,” the letter says.
Other objections were cited with the management of ACU: the reappointment of Skrbis “more than a year before the expiry of his contract”; “compelling accounts” of bullying within ACU’s Senate leadership body; and allegations that Skrbis and ACU chancellor Martin Daubney had “soured relations” with ACU’s “chief institutional backers”, but also that they had expressed an “antipathy to the church itself and aspects of its teachings”.
Asked to respond, ACU dismissed much of the report, but it took care to single out for dispute the shade cast over the reappointment of Skrbis, which it said was a “thorough and carefully considered” over two months (even if that was by Daubney, his chief sponsor, and the one guy who wanted Skrbis reappointed), but also the claim that senators had been bullied. No formal complaints had been received, it said.Moreover, the report alleged that ACU had leveraged international enrolments to prop up its budget, attacked its deteriorating financial position – a $35m loss for the 2023 financial year – and noted a blowout in costs from the use of KordaMentha consultants.
Those advisers are alleged to have provided “weekly advice sessions direct to the vice chancellor”, the report said, noting that the nature and terms of that arrangement “remain unclear at the Senate level”.
An ACU spokeswoman didn’t deny the characterisation, but said the $3m figure nominated in the report was “wildly incorrect” and went on to say the university had “reduced its expenditure on consultants”, so make of it what you will.
“The Senate has full confidence in ACU’s governance and management processes, and in the university’s compliance with the higher education standards,” the ACU official said, adding that the report – which she called a “20-page manifesto” – contains “verifiably false claims”.
What a pity that TEQSA doesn’t agree. And why would they?
The confidential and disgraceful treatment of Galloway is verifiably true and documented in a paper trail that we published across a series of columns last year. The university’s dire financial position and reliance on international enrolments – alongside its previous decade of healthy profit and loss – can be confirmed with a glance at any of ACU’s annual reports.
And if one needs further proof of ACU’s broken relationship with its stakeholders, look no further than Sydney Archbishop Anthony Fisher, who wrote so damningly to Skrbis and Daubney in November, saying: “I find myself ashamed of the university’s recent performance.”
Kestelman hits back
And while we’re writing about the launch of broadsides …Looks like Larry Kestelman has finally cracked it with Illawarra Hawks owner Jared Novelly, the NBL proprietor issuing Novelly with a “notice of grievance” on Thursday that could actually see him barred from running his team.
Is it revenge for Novelly’s mutinous plan of a week ago to buy out Kestelman and try to turf him from his NBL ownership – with a minimally attractive offer of $44m and the carrot of a trophy to be named in his honour? Yes, obviously.
The whole thing was totally insulting.
Plus the Novelly offer was served on a bed of unsubstantiated allegations that claimed Kestelman’s ownership of the league had screwed the teams out of their fair dues.
Worth noting is that Novelly’s buyout plan was first publicised here, in this column a week ago, but it was only transmitted formally to Kestelman on Wednesday night.
And then the grievance notice was sent back to Novelly literally the morning after.
Another coincidence, we think.
Tahmoor who?
Unpaid creditors have been crying foul at Sanjeev Gupta’s Tahmoor colliery for the better part of six months, so you’d think the operation would have a pretty solid handle on who they are.
But maybe not. Margin Call hears that GFG’s accounts department sent round an urgent plea this week for staff to update the accounts system ahead of a deal to refinance the mine, so creditors can start getting paid as soon as the money arrives.
On the one hand, that’s a positive sign for the 600 or so workers at Tahmoor, the bulk of whom were stood down in February after cranky suppliers stopped delivering goods due to non-payment.
Then again, if GFG still doesn’t know who Tahmoor owes money to when it’s in this much trouble, perhaps that’s part of the problem? At least it wasn’t the accounts department offering to trade tax advice for urgently needed supplies of toilet paper …
Meanwhile, we hear Gupta has hit the pavement in New York seeking to lock down details of the long-promised financing deal that will solve all of his problems.
Good luck to the lenders.