Hepburn Shire Council faced significant disruption after local entrepreneur David Penman initiated legal action against five councillors and the council’s chief executive, resulting in their temporary suspension. However, the Director of Public Prosecutions (DPP) intervened, took over the prosecution, and successfully requested the charges be dismissed.
Following this development, the councillors are set to return to their positions, although they, alongside various individuals and organizations, are pursuing legal costs from Mr. Penman. Last month, Penman filed charges against the council members through a private prosecution, alleging misuse of public office against Mayor Tony Clark, Don Henderson, Shirley Cornish, Pat Hockey, and Lesley Hewitt, as well as chief executive Bradley Thomas.
As mandated by the Local Government Act, the five councillors had to step down while the charges were under judicial review. Critics accused Penman of exploiting a legal loophole to effectively paralyze the council’s operations, prompting the state government to announce plans to appoint an administrator to manage council affairs.
In a recent session at the Ballarat Magistrate’s Court, the DPP took over the case and successfully argued for the dismissal of the charges. In a statement, Hepburn Shire Council confirmed the reinstatement of the councillors, with Mayor Tony Clark expressing satisfaction with the outcome. He remarked, “We are extremely pleased with the outcome, and we will leave it there.” Further comments are anticipated as the situation evolves.
Earlier this year, Bradley Thomas announced his resignation as chief executive, with his departure set for late August. The council stated that the DPP deemed there were insufficient grounds to support the prosecutions, labeling the outcome as a victory for both democracy and the community.
In a related development, the former Victorian local government minister, Paul Hamer, indicated plans to appoint an administrator, calling the situation an “unnecessary disruption.” Current Local Government Minister Tim Richardson has been approached for comments regarding the ongoing issues.
Outside the court, Penman expressed surprise at the DPP’s intervention, stating, “I thought the charges were particularly strong,” while acknowledging the political sensitivity surrounding the case. He affirmed his respect for the DPP’s decision, underscoring the importance of the judicial process in a democratic society.
Discussions regarding legal costs are ongoing, with multiple parties, including the Hepburn Shire Council, witnesses, CEO Bradley Thomas, and the councillors themselves, seeking reimbursement from Mr. Penman. The court has recognized the substantial costs incurred during the proceedings, with Magistrate Patrick Southey noting that each party would require time to detail their claims for legal expenses.
During a cost-related dispute in court, Penman, representing himself, had a contentious exchange with Cr. Don Henderson’s lawyer, David Tamanika. Magistrate Southey intervened, clarifying that previous statements from other magistrates would not influence the current cost determinations. He expressed concern over the prolonged nature of the proceedings and noted pending legislation aimed at closing the loophole that allowed this situation to arise.
Rural Councils Victoria (RCV) welcomed the DPP’s actions, highlighting the adverse effects this situation has had on the lives and careers of the affected councillors. An RCV spokesperson emphasized the need for legislative reform to prevent similar occurrences in the future, urging the newly appointed premier and local government minister to address this critical issue promptly.
