Good afternoon.
What is it about New South Wales property developers and politics?
Time and again, the NSW corruption watchdog has found itself delving into the relationships between NSW politicians and those seeking to make their fortune building high-rise towers or housing estates around Sydney.
It doesn’t seem to matter whether it’s Labor or Liberal. The subterfuge may vary but the lure of the dollar from property development seems to infect NSW politics all too often.
Today, the Independent Commission against Corruption (Icac) heard long-awaited evidence from key witness and fugitive property developer Jean Nassif (you can read our full coverage here).
I’ve been watching these hearings, which wrap up this week, over the past two months. But what have they told us about the integrity of the political system? And what will happen next?
Intriguing figures … and a lot of money
The latest inquiry by Icac into illegal political donations alleged to have been received by a rightwing Catholic group within the NSW Liberals, known as the Reformers, has become a must-watch.
The daily inquisitions have become a popular live stream and the public gallery at the hearing rooms is often packed.
This particular saga began back in 2022 when a NSW Liberal MP, Ray Williams, rose after the dinner break in NSW parliament to deliver a stinging attack on his own party, the NSW Liberals.
He alleged that a shadowy group of conservative young men from the Liberal party, known as the Reformers, had used secret donations from Nassif, to fund an operation to stack Liberal branches in Sydney’s north-west in order to change the Hills Shire council. Developers are prohibited from making political donations in NSW.
It’s also investigating whether the Reformers attempted to oust the newly appointed building commissioner, whose job was to inspect shonky buildings, as well as an MP, David Elliott, who was critical of Nassif, via a campaign of political influence on NSW ministers.
The inquiry has been made all the more intriguing because a key figure under investigation is Charles Perrottet, brother to the premier at the time, Dominic Perrottet. Dominic Perrottet is not a person of interest in the Icac inquiry, and has not been called as a witness. Charles Perrottet denies the allegations.
The Reformers are alleged to have taken $2m from Nassif who is now a fugitive in Lebanon. He is wanted on criminal fraud charges and Icac would like a word.
Icac is also looking at other potential donors to the Reformers, including Catholic Schools NSW, whose now-resigned CEO Dallas McInerney was considering a political career and who was working with the Reformers. NSW has strict donation caps.
Dark arts on display
The key figures in this inquiry worked adjacent to politics as lobbyists, and had registered lobbying firms. They claim they were just doing work for their clients, and deny these are political donations for achieving nefarious political outcomes.
Over the past eight weeks, Icac has built its case with phone taps, texts and emails recovered during the four-year investigation.
We’ve been privy to the key protagonists’ discussions on whether to buy a Porsche or Ferrari, dinners at Nobu (a high end Japanese restaurant in Melbourne), which journalist would be best to drop a negative story to, and days and days of explanations about there is no paperwork to support the claims of lobbying advice.
Unusually, there are no elected representatives named as persons of interest in this Icac inquiry.
But the dark arts of politics are on full display. The evidence before Icac will do little to reassure those who are already sceptical about the integrity of our political processes and whether money can taint political decision making. There will no doubt be some new recommendations from Icac about policing the relationship between lobbyists, political power brokers and elected MPs in NSW.
But lobbyists and power brokers are not just prowling the corridors of Macquarie Street. They are in every parliament and often serve on party bodies. It’s easy for the lines between political advice and the client’s interests to be blurred.
There are also gaping holes in the laws covering donations. At a federal level there is no regulation of donors such as property developers, which means the major parties can and do take donations from developers. They just earmark them for federal campaigns.
The inquiry is expected to wind up by the end of September with a report to follow – perhaps before the NSW election in March 2027.
Australia’s first female high court judge Mary Gaudron in 2011. She has died aged 83. Photograph: AAP
