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World
World Desk · · 30s summary · 4 min read
Five of seven councillors at Hepburn Shire Council in rural Victoria, Australia, have been temporarily suspended since July 13, 2026, following successive private prosecutions filed by businessman David Penman. The charges allege the council illegally adopted its annual budget without required financial documents. With only Brian Hood and Tim Drylie remaining active, the council has lost its legal quorum, blocking major decisions and new contracts. Victoria's state government is considering appointing an administrator and modifying local government legislation to prevent such institutional deadlock.
Five of the seven councillors at Hepburn Shire Council are on temporary suspension since July 13, 2026, according to ABC News. This rural local government area administers a region in central Victoria, Australia, including the towns of Daylesford and Creswick.
Businessman David Penman has filed successive private prosecutions against multiple council members. Charges against councillors Shirley Cornish, Lesley Hewitt, and Pat Hockey were served on July 13, 2026. Penman had previously targeted mayor Tony Clark, councillor Don Henderson, and council CEO Bradley Thomas.
The charges allege that the elected officials adopted the annual budget without certain financial documents required by law. The prosecutions characterise these actions as misconduct in public office — a deliberate breach of legal obligations by a public official.
Under Section 229 of the Local Government Act 2020, Victorian legislation governing local councils, any councillor charged with a criminal offence must suspend their duties until judicial proceedings are completed. Only Brian Hood and Tim Drylie remain active, a number insufficient to achieve the council's quorum.
Private prosecutions are a procedure inherited from British common law: a private individual can directly file criminal charges with a court, without approval from a public prosecutor or police authorisation. This mechanism is legally operative in Australia and does not require prior police investigation.
Hepburn Shire Council released a statement asserting that these prosecutions "disrupt democracy." The council stated they were not preceded by any investigation by Victoria Police or any public prosecution authority.
Councillor Brian Hood, who voted against the budget adoption in question and is not subject to prosecution, is one of only two remaining active members. He stated on July 14, 2026, on ABC Radio that routine operations — roads, rubbish collection — continue, but major decisions, new contracts, and capital works are suspended due to lack of quorum.
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Private prosecutions disrupt democracy.
— Hepburn Shire Council, official statement
[Appointing an administrator is] perhaps the only [option] available.
— Brian Hood, Hepburn Shire councillor, ABC Radio, July 14, 2026
Victoria's state government is working on amendments to Section 229 of the Local Government Act 2020 to prevent this type of institutional deadlock, according to Brian Hood. The timeline and exact scope of this reform are not yet known.
The local government minister could appoint a state administrator to oversee the council. Hood describes this option as "perhaps the only available" one, but no decision has been announced. The date of judicial proceedings for the ongoing cases has not been specified.
A procedure by which a private individual directly files criminal charges with a court, without going through a public prosecutor or police. Inherited from British common law, this mechanism is legally operative in Australia. It requires no prior police investigation or approval from any public authority, though the Attorney-General may intervene to stay proceedings.
Section 229 of the Local Government Act 2020 automatically requires any councillor facing criminal charges to suspend their duties until the case is judicially resolved. This automatic mechanism led to five of Hepburn Shire's seven councillors standing aside and the loss of quorum.
Routine services (roads, rubbish collection) continue normally. However, major decisions, new contracts, and capital works projects are suspended because the council no longer has the quorum necessary to vote.
His prosecutions allege that the councillors adopted the annual budget without certain financial documents required by law, constituting misconduct in public office — a deliberate breach of legal obligations.
Victoria's government is working on amendments to Section 229 to prevent similar deadlocks in future. The local government minister may also appoint a state administrator to manage the council while legal proceedings continue.