The NSW corruption watchdog has heard claims senior Liberal figures discussed seeking financial backing for a right-wing factional group from now-federal Opposition Leader Angus Taylor.
Former Liberal staffer Dylan Whitelaw fronted the NSW Independent Commission Against Corruption (ICAC) on the inquiry’s second day.
Mr Whitelaw told the commission he became involved in the work of the right-wing faction known as the NSW Reformers when he was also working for Catholic Schools NSW (CSNSW).
Former Liberal staffer Dylan Whitelaw was called as a witness on the second day of hearings. (Supplied: ICAC)
The NSW Reformers are a conservative Christian Liberal factional group associated with several key figures in the inquiry, including founder and former Liberal powerbroker Christian Ellis, and Jean-Claude Perrottet, the brother of former NSW premier Dominic Perrottet.
Dominic Perrottet, who referred the allegations to ICAC in 2022, is not accused of any wrongdoing.
Under questioning from Counsel Assisting Juliet Curtin, Mr Whitelaw was shown a screenshot sent from lobbyist Robert Assaf to a group chat that included Mr Whitelaw, Jean-Claude Perrottet and Mr Ellis.
The screenshot was of a message exchange between CSNSW CEO Dallas McInerney and Mr Assaf.
It read: “I have breakfast club with ministers this Thursday morning. Who can I get an update from? Re SCD progress in last six to 12 months.
“I want to shake down Angus for 10k.”
Mr Whitelaw said while he could not recall seeing the message, he assumed it was referring to federal Liberal MP, and now Opposition Leader, Angus Taylor.
Mr Taylor is not accused of any wrongdoing.
Mr Whitelaw said “SCD” stood for state council delegates and he believed the message referred to the NSW Reformers’ efforts to recruit more members.
Counsel Assisting then asked Mr Whitelaw: “It appears, does it not, that Mr McInerney wanted an update on the Reformers’ progress, so he could seek a financial contribution from Angus Taylor to continue the Reformers’ work?”
“I wouldn’t want to speculate that it appears that way on face value,” Mr Whitelaw replied.
The inquiry was also shown another group chat message from Mr Whitelaw claiming Mr McInerney secured a $15,000 payment and ongoing monthly donations of $3,000 for the group’s work from Mr Taylor
Under questioning from Counsel Assisting, Mr Whitelaw said he did not remember sending the message or the donation being made.
“Potentially, Dallas (McInerney) had told me something that was incorrect,” Mr Whitelaw responded.
“I’d be very surprised if Mr Taylor made any financial contribution.”
A spokesperson for Mr Taylor said he was “not party to to the matters before the commission” and that he had not been “approached”.
“These matters should be allowed to run their course free from political interference or commentary,” the spokesperson said in a statement.
“As such the Leader will not be providing a running commentary on any matters before the commission.
“Donations and fundraising activities are declared in accordance with the rules and are a matter for the Party.”
‘I thought they were good people’
Hotelier Michael O’Hara told the ICAC key figures being investigated “obviously went off the track”. (ABC News: Timothy Ailwood)
Earlier, a hotelier who helped fund the NSW Reformers, told the corruption watchdog he made a “mistake” trusting key figures at the centre of the bombshell investigation.
Part of ICAC’s probe is examining whether Michael O’Hara, a prohibited donor, made political donations “in amounts that were not declared and exceeded applicable donation caps”.
It is alleged he used a company called Paslibdan Pty Ltd to make the donations, disguised as consultancy payments, to help stack the Liberal Party with conservative members.
Mr O’Hara, who was the first key witness in the Operation Rosny inquiry, said he was “absolutely astounded” and “disgusted” by allegations aired at the commission involving members of the NSW Reformers.
The key figures in ICAC investigation
Counsel Assisting the Commission Peggy Dwyer SC questioned Mr O’Hara about invoices and emails detailing his payments to companies linked to Mr Ellis and Jean-Claude Perrottet, which referred to “strategic wealth strategy investment advice”.
Mr O’Hara maintained he believed the arrangement was intended to promote his conservative values within the Liberal Party.
“It’s like running a hotel where I might sit at the top and know what’s going on, but I never interfere in the day-to-day operation when you’ve got good people, good managers, they run it,” Mr O’Hara said.
“I thought they were good people … I made a mistake in supporting them because they obviously went off the track.”
The commission previously heard Mr O’Hara was a prohibited donor because he “built a hospitality empire and has shares in numerous venues around NSW”.
“As such, he is associated with a corporation primarily involved in the liquor and/or gambling industries and is prohibited from being a political donor,” Dr Dwyer said on Monday.
The inquiry is slated to run for eight weeks.