Accused fraudster George Alex has been released on bail

Sydney construction industry figure George Alex, accused leader of an alleged $17m tax fraud syndicate, has been released from jail strict bail conditions.

George Alex pictured leaving the Silverwater Correctional Complex on Thursday. Picture: Christian Gilles

Sydney construction industry figure George Alex, accused leader of an alleged $17m tax fraud syndicate, has been released from jail on strict bail conditions.

The 49-year-old was granted bail at Sydney’s Central Local Court on Friday, appearing via video from Silverwater jail where he has been held since his arrest on the Gold Coast last month.

In arguing for his release on bail, Mr Alex’s legal team said there were concerns for his mental and physical health.

Upon his release on Thursday night, Mr Alex allegedly told reporters the charges against him were a “total stitch-up” before heading into effective house ­arrest.

Mr Alex must report twice daily to police, have no social media accounts, and has had to post a $2m surety in the form of two properties.

He had been a key target of the trade union royal commission, which in 2015 found there was substantial evidence he paid thousands of dollars a week to a CFMEU organiser and in return his companies received special treatment.

He is now alleged to be the principal of a crime syndicate that used labour hire and payroll companies in the building and construction industry to siphon money that should have been paid to the Australian Taxation Office, using it to fund lavish life­styles.

The Australian Federal Police in late July charged 12 people, including Mr Alex and the wife of jailed drug smuggler Michael Ibrahim, after a multi-agency investigation into the syndicate.

A total of $21m in assets including 12 properties, 17 vehicles, 65 bank accounts, a caravan and a boat have been restrained as part of the investigation.

Also charged was New Zealander Mark Bryers, who in 2009 was declared bankrupt with estimated personal debts of $NZ235m, thought at the time to be that country’s largest bankruptcy.

AFP Commander Kirsty Schofield said the syndicate had allegedly recruited specialist fin­ancial industry experts to advise the group. “We will allege that the syndicate leader put this group together for the purpose of committing the fraud and to keep it going,” she said.

Mr Alex and his son ­Arthur, 22, have both been charged with conspiracy to defraud the ­commonwealth.