The Victorian Liberal Party will repay nearly $200,000 in taxpayer money, amid fears the funds may have been misused in a kickback scheme.

Victorian Liberal Party president Michael Kroger wrote to party members to advise them that MP mail-outs were handled by a printing company that allegedly paid kickbacks to former party state director Damian Mantach.

"Our own preliminary enquiries seem to point to Mr Mantach having entered into an arrangement with an external mail house whereby Mr Mantach encouraged the mail house to increase invoices for work undertaken for both the party and for some Victorian and Federal Liberal Party MPs, so as to charge more than was actually owing," the letter read.

"Such a direction by Mr Mantach was given without the knowledge, approval or permission of the party and of course if such approval had been sought it would have been refused.

"Such a direction was also unknown to all Liberal MPs and was given without their knowledge, approval or permission.

"Our MPs have been appalled by what they have learnt having at all times acted in good faith.

"No Member of Parliament was aware of Mr Mantach's direction to the mail house and they are disgusted with what has happened."

In the letter, Mr Kroger said just under $197,000 would be repaid to the state and federal parliaments, as per the party's preliminary findings.

He told members that the party was seeking legal advice as to whether "this reimbursement should actually be made by a third party" but that in the meantime the Liberal Party had a "moral obligation" to settle the amount with the parliaments.

"I want to thank all members of the party for their support and cooperation during this difficult period," the letter finished.

"I apologise to our Victorian state and federal Members of Parliament on behalf of the Administrative Committee for allowing them to be drawn into this matter in circumstances where they had no knowledge or involvement whatsoever."

Mr Mantach is currently under investigation by the Victoria Police fraud and extortion squad, over allegations he stole $1.5 million from the Liberals over four years.

The money, raised through donations and other fundraising, was meant to be spent on last year's Victorian election.

The Liberal-National Coalition government lost the election after just one term.

Taking kickbacks for personal gain? That's corruption.

Bam wrote on Aug 26^th, 2015 at 8:28am:


Absolutely. And they discovered it themselves, admitted to it and repaid the money.

As for the Liberals being ethical, that is a really sick joke. This is a political party that has taken donations from the Calabrian Mafia in exchange for favours. They take donations from the fossil fuel industry in exchange for destroying the renewable energy sector. They condone torture, rape and child molestation of asylum seekers, and their idea of dealing with these problems is to pass laws that jail the whistleblowers.

Bam wrote on Aug 26^th, 2015 at 8:28am:



totally agree....

what about the UNION kickback shortarse organised??>..

or dont they count.

cods wrote on Aug 26^th, 2015 at 10:25am:



No, they don't because this is a thread about the Victoria Liberals ripping hundreds of thousands of dollars from hard working Liberal supporters.  Please stick to the thread topic - I take it you are sober today? 

Vic wrote on Aug 26^th, 2015 at 10:28am:



I am sober always am sober sorry you feel the need to personally denigrate me like your little  mate......

at least I know where I stand with you...

keep up the good work.. I am sure your little mate will be delighted..

when you want a debate about RIPPING OFF let me know...