The Albanese government is under pressure over a $670,000 taxpayer-funded grant to a Melbourne Islamic community organisation that recently hosted a public mourning ceremony for Iran’s late Supreme Leader, Ayatollah Ali Khamenei.
During Question Time on Tuesday, Liberal frontbencher Dan Tehan asked Treasurer Jim Chalmers whether the government would halt a six-figure election commitment to the Taha Association, a Shia Muslim community group in Dandenong.
The association sits within the electorate of Labor MP Julian Hill and has publicly supported both him and fellow Labor MP Cassandra Fernando.
During the vigil this week, the association described Khamenei – whose regime, by some estimates, massacred in excess of 30,000 people to crush recent protests – as a ‘Muslim leader who remained committed to faith, justice and dignity.’
‘He stood for unity among Muslims and supported those in need,’ the group declared.
‘Inspired by the message of Imam Hussain [the grandson of Prophet Muhammad] he showed patience and strength in difficult times. A reminder of the importance of faith, courage and moral values.’
The association has faced intense scrutiny after holding a majlis mourning ceremony for Khamenei. Similar memorials took place at other Shia centres in Sydney and Melbourne.
In a social media post last March, Hill, a prominent Labor left figure, previously described the association as an ‘always welcoming community centre’.
A promised $670,000 taxpayer-funded grant to the Taha Association, a Shia Muslim group, is being reviewed after it held a mourning vigil for Ayatollah Khamenei
The Taha Association was promised a $670,000 grant by Labor MP Julian Hill (above)
Chalmers said that regulators have the power to strip concessional treatment from organisations if warranted, and that Multicultural Affairs Minister Anne Aly was reviewing the matter.
Aly told Parliament she shared concerns about the proper use of taxpayer money:
‘We take very seriously issues where there is funding for activities or for communities,’ she said, adding she was ‘doing everything possible’ to examine the funding arrangement.
She noted that while supporting community organisations is routine, it must comply with legal and social standards.
‘We take our expectation that the activities of those organisations and the activities of those groups are conducted within the rule of law and within the expectations and the standards [Australians] expect.’
Aly confirmed she learned of the grant only in the previous 24 hours and is ‘looking into the matter.’
The government has not said whether the grant will proceed, be paused, or be cancelled, with Aly promising an update.
Labor MPs Cassandra Fernando (pictured) and Julian Hill have been supported by the group
The parliamentary debate comes just a week after Hill urged progressives not to ‘fail to call out and combat the dangers of radical Islamist politics and ideologies’.
Following Labor’s 2025 election win, the Taha Association congratulated Hill and Fernando.
‘We look forward to continuing our strong relationship with Julian Hill and Cassandra to further support the needs of Taha and our community.
‘Both of you have been amazing supporters of our community and have always been there for our people especially immigration.’
The mourning events for Khamenei have sparked major backlash from political leaders, Iranian–Australian activists, and Jewish community groups.
NSW Premier Chris Minns labelled the vigils ‘atrocious,’ adding ‘by any objective measure the ayatollah was evil.’
The Executive Council of Australian Jewry has called for investigations into any group glorifying figures linked to the IRGC, which Australia classifies as a terrorist-aligned entity.
The Taha Association Centre, Julian Hill and Cassandra Fernando have been contacted for comment.
