Police officers from the NSW fraud squad have attended the Sydney headquarters of the RSL as the leadership crisis at the venerated organisation descended to a new low, with RSL chief executive Glenn Kolomeitz saying he did not know whether he still had a job.
Police began their investigation into the alleged rorting of expenses by former RSL president Don Rowe on Wednesday, hours after the national RSL formally accused nine directors of the NSW RSL council with taking part in a cover-up over Mr Rowe's $475,000 credit card bill, which included $275,000 in cash withdrawals and RSL mobile phones distributed to five of his family members.
Veterans Affairs Minister David Elliott called in the police in December after reviewing a damning interim report by forensic auditors KordaMentha into the allegations of mismanagement at the RSL by Mr Rowe and former NSW and national president Rod White.
Police asked to see files on Wednesday, liaising at ANZAC House on Castlereagh Street with Mr Kolomeitz.
At the same time, the chief executive was dealing with what he suspected were moves by the 11-member state council to remove him from his position - a move described by one senior RSL figure as "the last act of drowning men".
Fairfax Media understands some of the under-pressure councillors believe Mr Kolomeitz has been "too co-operative" with the national RSL once allegations surfaced.
Mr Elliott's support for Mr Kolomeitz - restated in a press release on Tuesday - has created further bad blood between the council and the RSL executive.
Email correspondence obtained by Fairfax Media shows Mr Kolomeitz, an army veteran, wrote to all state councillors asking for details of a specially-convened council meeting that took place at ANZAC House at 8.30am on Tuesday.
"At this point in time, I am not aware of any of the details of any action undertaken to terminate my employment with RSL NSW including whether or not I am presently employed by RSL NSW," he wrote.
"That is entirely unacceptable. On a related note, my staff in ANZAC House have heard rumours that my employment was being terminated yesterday. I am briefing them collectively at 9am this morning and would thus appreciate the aforementioned requested material prior to that briefing.
"It is entirely unfair that salaried staff of RSL NSW are being treated in this manner, unaware of their respective futures and that of their chief executive."
In a single line response to his email, state councillor Tony Toussaint, warned all councillors that it had been an "in-committee meeting", a term for private deliberations that are not shared outside the council.
Contacted by Fairfax Media, Mr Kolomeitz confirmed that he did not know the status of his employment as of Wednesday afternoon.
But state councillor Darren McManus-Smith said no motion to remove Mr Kolomeitz had been moved during the secret meeting and it was called to discuss the wider issue of the expenses allegations.
"We're all copping it for the actions of a few," he said.
Nine councillors have been charged by the national body with "working against the interests of members" by engaging in a cover-up over the Don Rowe matter.
They also face a charge of bringing the RSL into disrepute after Fairfax Media exposed the alleged financial mismanagement at the century-old institution.
