A recent Auditor-General's report has raised serious concerns regarding DevelopmentWA's management of land sales under Labor's governance in Western Australia since 2017.

The report, released on May 12, 2025, highlights the failures of DevelopmentWA to minimize risks of fraud and corruption, concluding that probity and value for money were not achieved during the audit period from 2017 to 2022.

Findings indicate potential illegalities in record-keeping that hindered a thorough audit, as over 30% of property reviews lacked required documentation.

Without proper documentation, it is difficult for DevelopmentWA to demonstrate that transactions were in the public's best interest, raising concerns about possible undetected wrongdoing.

Despite previous warnings about fraud risks, DevelopmentWA transferred over $100 million in public land at significantly undervalued prices, often lacking proper documentation.

The report criticized DevelopmentWA for a historical lack of consistency and due diligence in land transactions, indicating a culture prioritizing expediency over transparency and accountability.

Although the current board showed signs of improvement, the report underscores that previous management under Treasurer Rita Saffioti failed to uphold necessary standards during the audit period.

The Auditor-General found significant issues, including 14 recurring parties involved in land sales and 13 potential employee relationships with buyers or sellers, suggesting a need for further investigation into possible conflicts of interest.

One highlighted case involved a land sale where the selling price was lower than a recent valuation, raising questions about decision-making processes and justifications for the sale price.

DevelopmentWA, a major state land developer with a portfolio valued at $2.18 billion, was formed by merging the Metropolitan Redevelopment Authority and LandCorp in 2019.