Baillieu accuses Brumby of thug tactics

Victorian Opposition Leader Ted Baillieu says the Labor government runs the state like thugs after it revived an old campaign claiming he profited from selling schools in the 1990s.

In response, Premier John Brumby argues Mr Baillieu cannot escape the reality that his former real estate business sold off schools for the then Liberal government.

The mud-slinging before the byelection for the seat of Altona - vacated by former transport minister Lynne Kosky - kicked off with Labor circulating a leaflet reminding voters Mr Baillieu's company sold Laverton Park Primary School for $320,000.

Mr Baillieu said Baillieu Knight Frank provided the same consultancy services to the Kirner and Cain Labor governments.

"Every time this government's failings are exposed they resort to smear," he told reporters in Melbourne.

"It is as if they're a bunch of thugs running this state."

Mr Baillieu said the role of Baillieu Knight Frank in selling government assets was a normal business service that was approved by the auditor-general.

"This government sells assets as well," he said.

Mr Brumby said it was indisputable that Mr Baillieu, who was also president of the state Liberal Party at the time, profited from the sale of a public asset.

"The facts are the former Kennett government closed 320 schools across our state and Mr Baillieu's company sold them," he told reporters.

"He personally profited from selling community assets, as simple as that."

Mr Brumby said selling off schools was still a core part of the Liberal Party's ideology.

"They don't believe in investing in schools in the western suburbs of Melbourne, they don't believe in helping poor and needy families and they believe in smaller government," he said.

In question time, the opposition grilled the government over Labor's Altona candidate, Jill Hennessy, who is on the board of Western Health, which it said ranked worst for patient dissatisfaction in a recent statewide hospital survey.

The opposition said it had obtained documents under freedom of information laws showing 2900 patients were on unreported waiting lists at Sunshine, Western and Williamstown hospitals, which are run by Western Health.

Mr Baillieu was a senior director of the national arm of Baillieu Knight Frank between 1973 and 1998, and its secretary between 1986 and 1998.

The Altona byelection is on February 13. Labor holds the seat by a margin of more than 20 per cent.