$2 million has gone missing from the Victorian Liberal Party

As police investigate claims the former state director of the Victorian Liberal party embezzled $1.5 million, it is still unclear if the man accused will publicly defend himself.

The state administrative committee was also meeting to prepare a brief of evidence for Victoria police.

The missing funds were reportedly for campaigning at the November 2014 election, and according to Guy could have made the difference between an election win or loss.

‘The matter has been reported to police and will be investigated by the Fraud and Extortion Squad’.

As state director of the Victorian Liberal Party, Mr Mantach’s role was a rorter’s dream.

Former Victorian Liberal Party leader Denis Napthine said he was “bitterly disappointed” by the misappropriation of funds, while Deputy Leader David Hodgett said they wanted “justice done”.

‘The ability of the party to continue to operate and fund its campaigns has not been compromised, ‘ a party statement said on Thursday.

‘We will allege that Mr Mantach has defrauded the party of around $1.5 million, ‘ it said in a statement on Thursday.

Mr Mantach did not respond to attempts to contact him on yesterday.

An audit of the party’s accounts after the 2014 state election revealed irregularities, Guy said. “If the police find others, fine, but we’re not aware that anyone at the party head office or any officials had any involvement at all”.

Kroger said he doubted the missing money would have changed the outcome of the state election, which was lost by the Liberals.

The revelations create yet another headache for Prime Minister Tony Abbott and the federal Liberal Party, which was already facing an uphill battle to retain key seats in Victoria.

“It doesn’t involve anyone else in the party”, Mr Kroger told ABC Radio.

Mr Guy said the Victorian Liberal Party were “furious” over the missing funds that had been identified after current state president Michael Kroger raised concerns with apparent overspending. We want our money back.

Victoria Police have launched an investigation.

She said the squad are “aware of an external investigation” into the alleged disappearance of funds from a Victorian government party.

“It would not be appropriate to comment any further at this time”.