Minister calls for Hills councillor Ray Harty to step aside amid fraud charges

LOCAL Government Minister Gabrielle Upton has called for The Hills Shire councillor Raymond Harty to step aside during legal proceedings, following fraud charges last week.

Ray Harty was first elected to Hills Shire Council in 2004 and is being called on to stand aside.

LOCAL Government Minister Gabrielle Upton has called for The Hills Shire councillor Raymond Harty to step aside during legal proceedings, following fraud charges last week.

The Labor councillor was charged with defrauding Lidcombe-based training company Comet Training, which was partly owned by the Construction, Forestry, Mining and Energy Union (CFMEU) and Master Builders Association (MBA).

Ms Upton said councillors in NSW must behave with honesty and integrity.

“Given the serious nature of the allegations my expectation is that he should step aside until the matter is resolved,” Ms Upton told the Times.

“If convicted, councillor Ray Harty will be automatically disqualified from holding civic office in any NSW council.”

Mr Harty, on the left, receiving the Castle Hill Rotary Club's Paul Harris Fellowship award last year.

Cr Harty, 72, was served with a court attendance notice by police relating to alleged fraudulent payments into a personal bank account worth more than $220,000.

Police will allege Cr Harty, who was given the Medal of the Order of Australia in 2012 for his work with the construction industry, was general manager of Comet Training when he allegedly committed the fraud.

He has been charged with one count of dishonestly obtain financial advantage by deception and is due to face Burwood Local Court on April 12.

Police also charged former Comet Training financial controller Amanda Cai with allegedly stealing more than $200,000 from the company,

Mr Harty with Gough Whitlam.

NSW Police said an investigation began after members of the company reported a number of irregularities in the accounting.

Officers attached to Flemington Police will allege a number of fraudulent payments totalling $445,000 were made into two personal bank accounts between 2011 and 2017.

In a joint statement issued by the MBA and CFMEU a spokeswoman said an issue of financial irregularity was raised by an external financial adviser in November.

“Within 24 hours of the board receiving this information, the board took steps to notify the police and appoint liquidators to thoroughly investigate the issue,” the spokeswoman said.

Mr Harty as the Comet general manager leaves after testifying before Royal Commission investigating the building trade in 2002. Picture: Noel Kessel.

“Independently from becoming aware of this issue and prior to this information being received by the board from its financial adviser, the board had already resolved to wind up the company and cease operation due to the premises where the company is located being sold.”

Cr Harty was first elected to the council in 2004.

When contacted by News Corp, Cr Harty declined to make any comment about the allegations.

“I make no comment. Talk to my lawyer,” he said.

The Hills Shire Council refused to comment.