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Timor-Leste was "Betrayed" by "a Friendly Country" for Economic Interests, According to Xanana Gusmão
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Timor-Leste was "Betrayed" by "a Friendly Country" for Economic Interests, According to Xanana Gusmão

Xanana Gusmão accused Australia of betrayal after a 2004 eavesdropping scheme by Australian secret services targeted Timorese government offices during Timor Sea treaty negotiations.

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Former President of Timor-Leste Xanana Gusmão publicly accused Australia of betrayal, citing a 2004 espionage operation in which Australian secret services wiretapped Timorese government offices in Dili during negotiations for a new Timor Sea treaty.

Xanana Gusmão’s Public Statement

Speaking in Lisbon at the presentation of Passar dos Limites – Australia’s Secret History in the Timor Sea by Australian writer Kim McGrath, Gusmão described the incident in strong terms:

“We feel betrayed by a supposedly friend-friendly country with which we were to rebuild [Timor-Leste].”

The book examines Australia’s actions in Timorese territory over the past 50 years. The event took place during the fifth G7+ ministerial meeting in Lisbon.

Gusmão, the first President of Timor-Leste since independence from Indonesia, made a direct appeal to the Australian Government:

“It is in this intimate revolt that burns in here that I humbly make a public appeal here to the reason why the Government of Australia reconsiders and stops the injustice that is being practiced against Bernard Collaery and against Witness K.”

He also challenged the national security justification used by Canberra:

“It was not the security of the state concerned, but the fact that military intelligence was used to spy on business affairs between Australia’s rich and the poor East Timor. We had finished the war. We were not going to invade Australia.”

The 2004 Wiretapping Operation

The existence of the eavesdropping scheme was revealed by a former Australian intelligence agent known publicly only as “Witness K”, whose identity has never been disclosed. Australian authorities in Canberra charged both Witness K and his lawyer, Bernard Collaery, with conspiracy — an offence carrying a maximum sentence of two years in prison, being tried in an Australian court.

The Timor Sea Treaty and Greater Sunrise

At the centre of the dispute is the Greater Sunrise oil and gas reserve, one of the richest energy deposits in the region. According to reports, Australian intelligence gathered information to strengthen Australia’s negotiating position over the maritime border and control of that area.

The treaty that was eventually signed split the exploration rights evenly:

PartyShare of Greater Sunrise
Australia50%
Timor-Leste50%

Critics argued this division was inequitable given that most of the reserves lie within Timorese territory.

When Dili became aware of the wiretapping, Timor-Leste contested the treaty and filed a lawsuit against Australia at the Hague Arbitral Tribunal, arguing that the spying rendered the agreement illegal under international law.

The case drew international attention to the asymmetry of power between a newly independent nation rebuilding from conflict and a wealthier neighbour with significant economic interests in the region’s energy resources.