The Guardian - China-Ex-Liberal candidate denies using donation to influence Morrison government for China

A businessman accused of using a hospital donation to gain political influence was trying to raise the money for healthcare workers and to combat anti-Chinese sentiment during the Covid-19 outbreak, his lawyer claims.

Di Sanh Duong, 68, faced the second day of a jury trial in Melbourne on Friday over allegations he used a $37,450 donation, fundraised from members of the Chinese community, to gain influence with a federal minister.

He has pleaded not guilty to the commonwealth charge of preparing for or planning an act of foreign interference.

Duong’s donation was raised “as part of his regular charitable work”, his lawyer said.

Barrister Patrick Doyle SC outlined the prosecution’s case in the county court on Thursday, where he alleged Duong was recruited as an agent by the Chinese Communist party’s United Front Work Department.

He alleged Duong, a long-term Victorian Liberal party member and former candidate, used a June 2020 donation to the Royal Melbourne hospital as a way to cultivate a relationship with the then federal minster Alan Tudge.

This was done with the plan to approach Tudge in the future with issues on behalf of the Chinese Communist party, Doyle alleged.

But Duong’s barrister, Peter Chadwick KC, said Duong denied “in the strongest possible terms” that he was trying to influence Tudge, or that he was recruited by or collaborated with anyone associated with the CCP.

He said the donation was a genuine attempt by Duong and his community group, the Oceania Federation of Chinese Associations, to help frontline healthcare workers during the pandemic.

It was also to combat anti-China sentiment, which was rife at the beginning of the Covid-19 outbreak.

“One of the unfortunate side-effects of these developments was people in our community unfairly shunned those who were of Chinese background,” Chadwick told jurors on Friday.

“The fear of Covid hung like a dark cloud over the Chinese community in Melbourne.”

Duong initially raised the money to spend on face masks, but when this fell through the organisation agreed to donate the money, Chadwick said.

As a prominent leader in Melbourne’s Chinese community, he said Duong’s donation was raised “as part of his regular charitable work”.

Chadwick urged jurors to refrain from using the trial to judge the Chinese government and its international policies.

The former Victorian Liberal MP Robert Clark took to the witness stand later on Friday, where he was questioned about a list of policy ideas Duong sent him via email in early 2019.

This included allowing China to build Australia’s first high-speed train and reconsidering the US as a primary trading partner in favour of China.

Clark, who was the acting president of the Victorian Liberals at the time, said he dismissed the email as “very superficial and naive” and chose not to forward it on to any members of parliament.

The trial before Judge Richard Maidment continues.