Former MP gambled away taxpayer money

Russell Northe, who was the member for Morwell between 2006 and last year, was handed a 21 month sentence in the County Court on Wednesday morning despite “powerful” concerns about his mental health.

The 57-year-old was charged in September last year after an investigation by the Independent Broad-based Anti-corruption Commission (IBAC) into misuse of money allocated to run his electoral office.

He pleaded guilty a year later to two charges of misconduct in public office dating to 2019 and 2020.

Northe was elected to parliament in 2006 for the Nationals before leaving the party in 2017 after citing mental health issues.

The following year he was elected as an independent and was offered taxpayer funds from the Victorian Electoral Commission for expenses.

Instead he created fake invoices and bank statements, claiming $173,400 in fraudulent expenses for rent, staff and a printer over the two years.

He wired the funds to his Tabcorp and Ladbroke accounts where he subsequently lost the money on bad bets.

The court was told Northe had racked up about $400,000 in gambling debts after becoming addicted to alcohol and gambling due to struggling with the social isolation of being away from his family.

In 2019 alone Northe made more than 3400 bets on Tabcorp with a net loss of $180,841.42.

Handing down his sentence, Judge Michael McInerney described the offending as “sophisticated, protracted and brazen”.

“It appears the background of the offending may well have begun when you were elected to parliament in 2006,” he said.

“Thereafter geographical isolation from your family seemed to have created difficulties … it would appear you became socially isolated and found handling your role as a husband, father, member and minister difficult.”

The court was told references pointed to Northe being a “hardworking and excellent” member of parliament and he had expressed “guilt and shame” at his offending.

Despite Northe’s lawyer Christin Tom arguing against a jail sentence due to “significant effects” that would follow for his client’s mental health, Judge McInerney sentenced him to serve 12 months imprisonment before he is eligible for parole.

“Good luck Mr Northe,” he said.

Originally published as Former Morwell MP stole taxpayer money to fund gambling addiction