Card use:Kathy Jackson used $1 million in members' funds to pay off two personal credit cards,Fairfax Media can reveal.
The HSU is preparing to provide the documents to the union regulator,the Fair Work Commission,or the royal commission into union corruption,and request they be scrutinised to determine whether Ms Jackson's expenditure was reasonable and subject to appropriate accounting standards.
''The amount of union funds that were spent by Ms Jackson ostensibly for work practices is staggering. We don't know for certain how most of the money was used,but there appears to have been no checks and balances in place to ensure it was used in a way the members wanted,''a senior union source said.
A cheque signed by Kathy Jackson.
A Fairfax Media investigation has also obtained a leaked NSW police statement that alleges that Ms Jackson knew of serious corruption claims involving Health Services Union bosses Michael Williamson and Craig Thomson for more than a decade before she reported the pair to police in 2011.
The witness,Sydney businesswoman Carron Gilleland,said in her signed police statement that she asked for Ms Jackson's help in 1999 after discovering the possible''illicit''use of funds by the pair.
The leaked police statement and other documents also suggest that a private company directed by Ms Jackson and her then husband Jeff Jackson was used both as a secret slush fund and a vehicle for charging the union for''industrial consulting''fees in the late 1990s.
The revelations raise fresh questions about Ms Jackson's campaign to portray herself as a union and ALP whistleblower,a position that has seen her praised by Prime Minister Tony Abbott and been used by some to justify the royal commission into union corruption.