October 2013

Encounters

Shane Maloney and Chris Grosz

Rex Connor and Tirath Khemlani

Rex Connor had a dream. Like the man himself, it was a big one. Huge. Visionary. He imagined a rich, independent Australia built on mining, modern technology and a skilled workforce. And when he was appointed minister for minerals and energy, he thought he’d found a way to turn his vision into reality.

It was November 1974, and Connor was the third most powerful man in the Labor government. Encouraged by PM Gough Whitlam, he began looking for money to implement Labor’s policy of public participation in national development. A potential source lay in petro-dollars, the billions accumulating in the Middle East after the price of oil had quadrupled over the past year. But how to tap these funds at reasonable interest rates?

Enter Tirath Khemlani, a London-based Pakistani deal maker. Introduced to Connor by an Adelaide businessman, he talked up a storm, claiming that he could find up to $4 billion for a gas pipeline project.

A massive, shambling hulk of a man, nicknamed “the Strangler”, Connor had begun his political career as an alderman in his hometown of Wollongong. Suspicious and secretive, he accepted the assurances of his department that Khemlani was legit but refused to authorise him as an agent of the Australian government, issuing him instead with a mere expression of interest in obtaining a loan. Khemlani promised he would deliver within a month.

The month became six. Deals were always imminent, forever on the brink of success. Connor waited anxiously for news. He took to sleeping in his office, next to the telex machine. In fact, Khemlani had never raised a loan in his life. A shadowy figure, rumoured to have CIA connections, he spent his days in constant motion, trading commodities and subsisting on potato chips.

With a political scandal building around the so-called “loans affair”, Whitlam told Connor to pull the plug on the mysterious money man. But it was too late. “Old Rice and Monkey Nuts” sold his story to the newspapers and then, when Connor denied his version, arrived in Australia with bulging bags of documents. Locked in a cheap Canberra hotel room with lemonade, potato chips and Opposition front-bencher John Howard, he provided the pretext needed to block supply and bring down the Whitlam government.

Mission accomplished, Khemlani faded into obscurity. In 1981 he was convicted in New York of attempting to sell stolen securities but immediately pardoned. He died in Scotland in 1991. Rex Connor is buried in Dapto. Life, he said, is an equation in hydrocarbons.

Shane Maloney and Chris Grosz

Shane Maloney is a writer and the author of the award-winning Murray Whelan series of crime novels. His 'Encounters', illustrated by Chris Grosz, have been published in a collection, Australian Encounters.

Chris Grosz is a book illustrator, painter and political cartoonist. He has illustrated newspapers and magazines such as the Age, the Bulletin and Time.

October 2013

From the front page

Albo set to lead ALP

Can a left-winger take the party to the right?

Photo of Leonard French underneath his stained glass ceiling at the National Gallery of Victoria.

Leonard French’s Balzacian life

Reg MacDonald’s biography may return this Australian artist to the national imagination

Book cover of Choice Words

The desperate, secretive drama: ‘Choice Words’ edited by Louise Swinn

Personal stories consider questions of choice, legality and stigma surrounding abortion

Fair gone

The Coalition’s aspirational pitch worked a treat


In This Issue

Watching ‘Orange Is the New Black’

Pretty on the inside

Begging the Breaker’s pardon

Tim Winton’s ‘Eyrie’ and Richard Flanagan’s ‘The Narrow Road to the Deep North’

Light and shadow

The best of Australian arts 2013

Critics give their picks for the year’s top ten


More in Arts & Letters

Photo of Leonard French underneath his stained glass ceiling at the National Gallery of Victoria.

Leonard French’s Balzacian life

Reg MacDonald’s biography may return this Australian artist to the national imagination

Book cover of Choice Words

The desperate, secretive drama: ‘Choice Words’ edited by Louise Swinn

Personal stories consider questions of choice, legality and stigma surrounding abortion

Still image from John Wick Chapter 3 – Parabellum

Killer instincts: The ‘John Wick’ franchise

Keanu Reeves hones his stardom in the hyperreal violence of an assassin’s tale

Image of Michael Jackson and James Safechuck.

Starstruck: Reckoning with Michael Jackson’s legacy

What do we do with the music after ‘Leaving Neverland’?


More in Encounters

Words: Shane Maloney | Illustration: Chris Grosz

Rupert Murdoch & Kamahl

Mark Oliphant & J Robert Oppenheimer

John Monash & King George V

John Howard & Uri Geller


Read on

Image of former prime minister Bob Hawke

Remembering the Silver Bodgie

Bob Hawke’s ability to build consensus reshaped Australia

Doomsday is nigh

The ALP’s policies are mild – why are they being treated as a mortal threat?

Image of Prime Minister Scott Morrison

Our distorted politics

Why is the Coalition even competitive under Morrison?

Image of the News Corp Australia office in Sydney

When journalists revolt

New Corp’s influence is being tested this election


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