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| NSW police minister Mike Gallacher steps aside after Icac accusations | |
| (about 1 hour later) | |
| The New South Wales police and justice minister, Mike Gallacher, will stand aside pending an investigation of his alleged role in "hatching a corrupt scheme" to funnel illegal donations to the Liberal party. | |
| Gallacher’s barrister made the announcement after the Independent Commission Against Corruption (Icac) heard that the Liberal minister and Darren Williams, a development manager at Nathan Tinkler's Newcastle property developer, Buildev, together devised a scheme to make payments to a fake political consulting agency, Eightbyfive. The money was allegedly passed on to the Liberal party in contravention of electoral fundraising laws. | |
| The payments were made by Tinkler's stud farm, Patinack Farm, to Eightbyfive, an entity set up by an associate of the sacked former NSW energy minister, Chris Hartcher. | |
| The commission was shown an email sent by Williams to another Buildev executive, David Sharpe, asking: "Which entity will I give Mike Gallagher (sic)?" | The commission was shown an email sent by Williams to another Buildev executive, David Sharpe, asking: "Which entity will I give Mike Gallagher (sic)?" |
| Sharpe replied: "Ask Nathan as I think it's best to come from Patinack to get right away from property mining infrastructure." | Sharpe replied: "Ask Nathan as I think it's best to come from Patinack to get right away from property mining infrastructure." |
| Donations from property developers such as Buildev to NSW political parties had been banned since 2009. | Donations from property developers such as Buildev to NSW political parties had been banned since 2009. |
| Williams said he could not recall what the email was about. | Williams said he could not recall what the email was about. |
| Counsel assisting the inquiry, Geoffrey Watson, SC, then put to him: “It was between the two of you [Williams and Gallacher] that you hatched a corrupt scheme to make political donations to the Liberal party using the Eightbyfive business, didn’t you?” | Counsel assisting the inquiry, Geoffrey Watson, SC, then put to him: “It was between the two of you [Williams and Gallacher] that you hatched a corrupt scheme to make political donations to the Liberal party using the Eightbyfive business, didn’t you?” |
| “No,” he replied. | “No,” he replied. |
| “Well I can tell you by the end of this you’ll regret having given that answer,” Watson said. | “Well I can tell you by the end of this you’ll regret having given that answer,” Watson said. |
| Gallacher's barrister attempted to stop the proceedings, saying his client had not had advance warnings that the allegations would be made. Gallacher wanted the opportunity to inform the NSW premier, Mike Baird, that he would be named at the inquiry, his barrister said. | Gallacher's barrister attempted to stop the proceedings, saying his client had not had advance warnings that the allegations would be made. Gallacher wanted the opportunity to inform the NSW premier, Mike Baird, that he would be named at the inquiry, his barrister said. |
| Watson said the information implicating Gallacher was received by Icac on Thursday afternoon, and was sufficiently serious that the commission would have to eventually adjourn to investigate further. | Watson said the information implicating Gallacher was received by Icac on Thursday afternoon, and was sufficiently serious that the commission would have to eventually adjourn to investigate further. |