Developer delivers $100k cash from Chinese fundraiser to ALP in shopping bag: ICAC
Bombshell corruption allegations over $100,000 in cash in a “plastic ALDI bag” delivered to ALP Sussex St headquarters by an exiled Chinese billionaire — and the suicide of another Chinese property developer to be questioned by ICAC — have rocked NSW Labor.
Bombshell corruption allegations involving $100,000 in cash in a “plastic ALDI bag” delivered to the alp’s Sussex Street headquarters by an exiled Chinese billionaire — and the suicide of another Chinese property developer about to be questioned by ICAC — have rocked NSW Labor.
The extraordinary evidence emerged on the first day of ICAC hearings into whether ALP party bosses allegedly ran a racket of “straw man donors” at Chinese fundraising events in order to get around election donation laws.
The first witness at the public hearings, ALP employee Kenrick Cheah, 37, who previously worked for a string of state Labor ministers, gave evidence he was handed $100,000 in cash in April 2015 by party bosses and told to physically count it.
Last night, NSW Labor leader Jodi McKay distanced herself from the long-time ALP staffer, saying she was “shocked” by the revelations, with her spokesman saying she was “no closer to Mr Cheah than any other ALP staffer at head office”.
The Independent Commission Against Corruption is investigating a prominent fundraising dinner held at Chinatown’s Eight Restaurant on March 12, 2015, where $138,000 was raised two weeks before a state election.
Former ALP leader Bill Shorten and former NSW state leader Luke Foley sat at the head table, alongside Chinese lobbyist and property developer Huang Xiangmo and dined on oysters, crab, ox tail, fried chicken and “fancy cakes” as part of the Chinese Friends of Labor fundraiser.
Questions have been raised about multiple donations of $5000, the maximum limit for undeclared political donations in NSW, by donors who included family and friends of Emperor’s Garden restaurant owner Jonathan Yee, convener of Chinese Friends of Labor.
Counsel assisting ICAC Scott Robertson described it as implausible that restaurant staff would have the financial capacity to make some of the donations. In NSW it is illegal for property developers to donate to political parties.
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Mr Cheah told the hearing on Monday, Mr Huang — who ASIO banned from returning to Australia last year over his links to the Chinese Communist Party — arrived at the ALP offices a few weeks after the dinner and met with then party boss Jamie Clements.
Mr Cheah said he didn’t know Mr Huang was a property developer.
Twenty minutes later, Mr Clements allegedly gave him the plastic ALDI bag, and asked him to check the cash and the attached donation forms, then pass it to finance.
“I recall that the money in the ALDI plastic bag was mainly in $100 denominations and tied together with rubber bands,” Mr Cheah said. “I proceeded to commence to count the money by hand.”
He did this in an open office, in view of other staff, but was busy and didn’t finish counting before the banks shut. He said he left work around 5.30pm to 6pm and took the money home “because I was not aware of any secure facilities at the ALP offices”.
“When I left the office some ALP staff were still there and said ‘be careful’ to me (referring to the fact I was carrying the bag of money). Because it was at around election time, I did not think there was anything wrong with it.”
Mr Cheah said he believed the money was collected by Mr Huang from other donors.
ICAC chief commissioner Peter Hall said he was “struggling to understand” why a “fabulously wealthy” Mr Huang would be carrying $100,000 cash in a plastic bag.
Mr Cheah said it was about the “concept of face” in the Chinese community — “he’s bringing himself prestige”.
Mr Huang refused to participate in a video-link interview with ICAC investigators.
The hearing was also told former federal senator Sam Dastyari, who tipped off Huang that his phone could be bugged by ASIO, will also be a witness at the hearings.
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Earlier evidence was given that current NSW Labor general secretary Kaila Murnain told ICAC that former ALP MP Eric Wong told her that Huang was the “true source” of the restaurant dinner funds.
The hearing also heard of the death of Chatswood property development firm Wu International deputy general manager Dr Leo Liao. He took his life on the weekend before a closed ICAC hearing on 25 June 2018.
“Tragically Mr Liao is understood to have taken his own life connected with the conduct that the commission is investigating,” counsel assisting Scott Robertson said.
A suicide note addressed to his wife mentioned the ICAC investigation. Mr Liao had signed a “reservation form” for the dinner, saying he wanted to buy a $5000 VVIP (very very important person) table.
“When you receive this letter, I will have left you,” his letter stated. “But I was unable to tell you because in the morning of 15 June two detectives knocking came at our door, they told me not to discuss it with any family member, in reality I have also chosen not to tell you either, to prevent you having to worry about it.”
Labor leader Ms McKay said she was “shocked and saddened” by the revelations.
“Integrity is everything for the party I lead and that is why I’m a strong supporter of the ICAC,” she said.
NSW Treasurer Dominic Perrottet said the claims struck at democracy: “NSW Labor behaved like this … in government, and now we have learned nothing has changed.”
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