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Anthony Albanese, Morris Iemma to testify at Eddie Obeid trial

Opposition leader Anthony Albanese will testify at the coal licence conspiracy trial of former NSW resources minister Ian Macdonald and one-time Labor powerbroker Eddie Obeid.

Disgraced former Labor Minister Eddie Obeid released from prison

Opposition leader Anthony Albanese will testify at the coal licence conspiracy trial of former NSW resources minister Ian Macdonald and one-time Labor powerbroker Eddie Obeid.

Obeid and his 50-year-old son Moses allegedly tried to cash in on a mining exploration licence gifted by the then politician’s close mate Macdonald as the state’s budget was in crisis, the NSW Supreme Court heard.

On Wednesday the trio sat in the dock where they pleaded not guilty to conspiracy to commit misconduct in public office.

Ian MacDonald arrives at the Supreme Court in Sydney on Wednesday. Picture: Dean Lewins
Ian MacDonald arrives at the Supreme Court in Sydney on Wednesday. Picture: Dean Lewins
Eddie Obeid arrives at the Supreme Court in Sydney on Wednesday. Picture: Dean Lewins
Eddie Obeid arrives at the Supreme Court in Sydney on Wednesday. Picture: Dean Lewins

The court heard that in the lead-up to the 2007 state election, Macdonald met with Mr Albanese and then senator George Campbell at Sydney’s Noble House Chinese restaurant where he was allegedly guaranteed preselection if he promised to resign within his eight-year term.

The Daily Telegraph has confirmed Mr Albanese will be appearing as a witness for the prosecution in relation to what took place at that lunch.

Mr Albanese and Macdonald have had a long association as leading lights of the NSW Labor Left faction.

The Labor leader’s office would not comment last night. There is no suggestion of any wrongdoing by Mr Albanese.

However, the timing is unfortunate for Labor given he is enjoying his best results in polls since becoming Opposition leader after the May 2019 federal election.

Opposition Leader Anthony Albanese will be called as a witness at the trial of former NSW Labor figures Eddie Obeid and Ian Macdonald <span id="U70553876675Q2E" style="letter-spacing:-0.013em;">Picture: Getty</span>
Opposition Leader Anthony Albanese will be called as a witness at the trial of former NSW Labor figures Eddie Obeid and Ian Macdonald Picture: Getty

The Morrison government will be hoping the case shifts attention away from its mounting internal dramas and on to NSW Labor’s underbelly once more.

The Crown alleges the Obeids and Macdonald conspired over Macdonald’s granting of the lucrative licence on Obeid family land at Mount Penny in the Bylong Valley between September 2007 and January 2009.

“That was all done with a view to yielding significant financial returns,” prosecutor Sophie Callan said in her opening address.

“Coal prices were escalating rapidly around the world and as a result the coal reserves in NSW had real revenue potential. This was at a time that the government was otherwise under significant budgetary strain.”

Moses Obeid arrives at his Supreme Court trial over a coal exploration licence. Picture: AAP
Moses Obeid arrives at his Supreme Court trial over a coal exploration licence. Picture: AAP

Mr Albanese will be among 53 Crown witnesses giving evidence during the marathon five-month trial, along with party figures, department of primary industries staffers, journalists and mining company officials.

Former state premier Morris Iemma will also testify about Macdonald’s long-running friendship with Obeid, with the Crown alleging Macdonald was motivated to repay the powerbroker’s past support and secure favourable treatment beyond his political retirement.

Ms Callan said with his post-politics career looming, Macdonald was eager to favour Obeid, who had been a powerful ally during their two decades in office despite being in different factions.

Original URL: https://www.dailytelegraph.com.au/news/nsw/expremier-iemma-to-testify-at-eddie-obeid-ian-macdonald-trial/news-story/5625094b31e06fd8ad4bb47b150927cf