By Megan Gorrey
Long-time Canada Bay mayor Angelo Tsirekas has been dumped from office after the state’s corruption watchdog found he engaged in serious corrupt conduct when he helped developers in exchange for thousands of dollars worth of perks, including overseas flights and luxury hotel stays.
The Independent Commission Against Corruption on Thursday recommended prosecutors consider criminal charges against Tsirekas after Operation Tolosa investigated claims he accepted rewards from developers in return for advancing their large apartment projects in Sydney’s inner west.
Long-time Canada Bay mayor Angelo Tsirekas.Credit: Alex Ellinghausen
The inquiry last year heard Tsirekas, a former state and federal Labor candidate who has been a local councillor for 25 years, took trips to China with his long-time friend, businessman Joseph Chidiac, and representatives of collapsed property group iProsperity, which funded some of his expenses.
Those trips coincided with iProsperity’s attempts to gain approval for a residential tower, initially of 46 storeys, comprising hundreds of apartments at Rhodes, which Tsirekas had supported at council.
The web of interactions between Tsirekas, Chidiac and iProsperity has been laid bare in the ICAC’s final report, which recommended Tsirekas be swiftly removed from his position on the council.
The ICAC found Tsirekas engaged in serious corrupt conduct by seeking or accepting benefits, such as flights and accommodation, to the tune of $18,000 from iProsperity and Chidiac between late 2015 and early 2019. It also found three individuals linked to the developer donated $10,000 each to his failed political campaign for the seat of Reid in the 2016 federal election.
Tsirekas also engaged in serious corrupt conduct by deliberately failing to disclose a conflict of interest regarding his relationships with Chidiac and iProsperity, which lodged several versions of plans to develop the Rhodes site, the watchdog found.
The report recommended seeking advice about whether Tsirekas should be prosecuted for alleged misconduct in public office, and for providing false or misleading evidence to the commission.
Local Government Minister Ron Hoenig said on Thursday afternoon he had suspended Tsirekas from civic office “with a view to his dismissal for serious corrupt conduct”.
He said the suspension was effective immediately.
“Should Cr Tsirekas be dismissed from his civic office, there are processes in place that would enable City of Canada Bay councillors to fill the position of mayor for the remainder of the current term of council,” Hoenig said.
The inquiry, in front of then-chief commissioner Peter Hall, scrutinised whether there was evidence Tsirekas possessed “unexplained wealth” which indicated he received improper financial benefits.
Consultant Joseph Chidiac (left) and Canada Bay mayor Angelo Tsirekas in China.Credit: ICAC
Tsirekas, the inquiry heard, had travelled extensively between April 2015 and July 2019, going on 24 overseas jaunts, and had also paid a deposit on an apartment in Ashfield during that time.
The commission rejected Tsirekas evidence about his finances as “inconsistent and uncorroborated” – particularly his claims his late father had been the source of the funds.
Among Tsirekas’ overseas holidays was a trip to China in 2016, when he attended the wedding of iProsperity director Zhouxiang (Harry) Huang. The commission was satisfied the developer funded Tsirekas’ and Chidiac’s expenses, which included staying at The Langham hotel, visits to a nightclub, and a trip to the city of Nanjing.
The ICAC also rejected Tsirekas’ assertion he did not know what Chidiac – who he said had been a close friend since at least 2015 – did for a job, or the extent of his involvement with iProsperity, and therefore did not have any private interests when the developer had projects before the council.
The commission also recommended consideration of criminal charges against Chidiac, after finding he engaged in serious corrupt conduct when he provided Tsirekas with benefits as a reward to favour his or iProsperity’s interests in planning decisions for projects in Rhodes.
The report said Chidiac paid for Tsirekas’ airfares and accommodation for a trip to China in 2016, and a trip to Lebanon later that year. Tsirekas later repaid Chidiac about $9000 after his divorce proceedings were finalised and when he became aware he was the subject of the corruption probe.
The ICAC found Tsirekas benefited from what was, in effect, an interest-free loan from Chidiac.
Tsirekas was first elected mayor of Canada Bay in 2002. He took leave during the ICAC hearing, vowing to fight the allegations.
Tsirekas is yet to respond to the Herald’s inquiries.
A spokesman for the City of Canada Bay Council declined to comment until the council had reviewed the report.
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