Defence denies investigating minister

The Defence Department says it never investigated Defence Minister Joel Fitzgibbon
and his Chinese-born friend Helen Liu.
In an initial assessment provided to Defence Secretary Nick Warner, the Defence
Security Authority (DSA) said there was no investigation into the minister, his
personal relationship with Ms Liu or of Ms Liu herself.
"Prior to the current media articles, no Defence investigative authority was aware
of Ms Liu," Mr Warner said in a statement.
Australia's domestic spy agency said it doesn't have any information to suggest the
Chinese-born businesswoman at the centre of a defence scandal is a security threat,
the federal government says.
Attorney-General Robert McClelland says ASIO doesn't have any concerns about the
activities of Helen Liu.
"The acting Director General of Security has advised me that ASIO has no information
relating to Helen Liu which would have given rise to any security concern regarding
her activities or associations," Mr McClelland said in a statement.
Newspapers reported on Friday that Ms Liu had been mentioned in secret reports by
Australian intelligence officers because of her links with senior Chinese government
officials.
Defence Minister Joel Fitzgibbon has apologised for failing to declare two trips to
China paid for by Ms Liu.
The opposition is demanding the independent Inspector-General of Intelligence and
Security, Ian Carnell, launch a separate investigation.
Previously, Prime Minister Kevin Rudd said he was disappointed in Mr Fitzgibbon and
expected better of him in the future.
But Mr Rudd told reporters in the US capital on Thursday the Minister had his full
backing, saying he's doing "a first class job".
The opposition has again called for Mr Fitzgibbon's sacking, following the
minister's admission he failed to declare that Ms Liu paid for two trips he made to
China.
Opposition defence spokesman David Johnston says the public will be none the wiser
about the claims if it was left to an internal inquiry.
"It is a scandal," he told ABC Television.
Senator Johnston described as "questionable" Mr Fitzgibbon's association with Ms Liu.
"(She) has got very, very strong connections with ... very senior Chinese leadership."
Mr Fitzgibbon was forced to apologise for his failure to declare on the
parliamentary register of MPs' interests two trips he took to China in 2002 and in
2005 which were paid for by the Fitzgibbon family friend, businesswoman Helen Liu.
The bungle diverted attention from a leaked newspaper report that alleged the
Defence Department was investigating the minister's relationship with Ms Liu.
Asked about the issue for the second day in a row on his overseas trip, Mr Rudd said
it was right that Mr Fitzgibbon had apologised for the failure to declare the trips.
"I'm disappointed that he did not make those declarations back then," Mr Rudd told
reporters.
"I expect better of Mr Fitzgibbon in the future. It's entirely appropriate that the
acting Prime Minister had demanded an apology of him."
Mr Rudd defended Mr Fitzgibbon's performance as Defence Minister.
"Mr Fitzgibbon is doing a good job as Minister of Defence, there's a big reform
program in Defence and he's doing a first class job," Mr Rudd said.
Mr Fitzgibbon had only recently recovered from his brawl with his department over
the pay scandal affecting SAS soldiers where the department failed to keep the
minister informed on what it was doing to fix the problem, leaving Mr Fitzgibbon
embarrassed in Parliament over several days.