Gladys Berejiklian told ‘you’re on safe legal ground’

The advice was given despite being named as a person of interest by corruption investigators.

The Premier says her resignation ‘could not happen at a worse time’. Picture: NCA NewsWire/Bianca De Marchi

Gladys Berejiklian and her closest cabinet colleagues received advice that the NSW Premier was on safe legal ground despite being named as a person of interest by corruption investigators.

The legal advice was provided by Bret Walker SC, the prominent Sydney barrister engaged by Ms Berejik­lian, as part of a last-ditch attempt to avoid having to resign.

On Friday, Ms Berejiklian said she would resign as NSW Premier and leave parliament after the Independent Commission Against Corruption said they were investigating whether she engaged in conduct that breached public trust.

The ICAC had one day earlier told Ms Berejiklian she would be named as a person of interest.

Sources involved in discussions who spoke on condition of anonymity said crisis talks with her closest political confidants – Health Minister Brad Hazzard, Energy Minister Matt Kean and Customer Service Minister Victor Dominello – had begun on Thursday evening and continued on Friday. The group was buoyed by advice from Mr Walker, who had told the NSW Premier that she ­remained on safe legal ground in ­relation to the investigation.

His advice appeared to extend to her ability to stay in her role while the ICAC investigations continued. Legally, it appeared, she may not have been required to vacate her position.

Mr Walker did not respond to requests for comment on Sunday.

Ms Berejiklian’s first call after being informed on Thursday of ICAC’s intentions was to Mr Kean, a leading NSW powerbroker of the moderate faction. Mr Kean had been on the phone to his partner that evening as a private number attempted to raise him on three occasions. These were followed by a text message from the NSW Premier. It said “Matty, call me ­urgently”, The Australian has ­confirmed.

Ms Berejiklian had already cleared her diary for the evening and the following day, including an appearance at a Liberal Town Hall online event to be attended by more than 1000 party faithful.

Once on the phone together, Mr Kean, Mr Hazzard and Mr Dominello pledged unswerving support for Ms Berejiklian, with discussions moving swiftly towards ways of preserving her leadership and managing the fallout of retaining her as Premier.

Shell-shocked by the development, Ms Berejiklian listened as the three men ran scenarios that tested propositions such as staying on as NSW Premier and temporarily standing aside. Ms Berejik­lian, at that time, had not received the ICAC’s summons ordering her to appear on October 18 for another public hearing.

During the phone call, it was made clear to Ms Berejiklian that public support remained strongly in her favour, as it always had, but also that the state had reached a critical juncture in its pandemic response, and she would retain the support of the majority of her party. Ultimately, they said, she could conceivably bear the fallout of ICAC’s announcement, scheduled to occur on Friday. This had already worked successfully a year earlier after her first appearance at the ICAC’s inquiry into the former Liberal MP Daryl Maguire.

Conversely, staying on to fight would pose its own challenges, they said: no-confidence motions in parliament, public commentary, a blaze of headlines at her upcoming hearings. These were surviv­able but a distraction from the government’s agenda. The link-up ended with all in agreement to press on with Ms Berejiklian retaining her position, an official with knowledge of the meeting said. “We were preparing to batten down the hatches,” they said.

Later that night, Ms Berejiklian again called Mr Hazzard, Mr Kean and Mr Dominello and asked that they come to her Martin Place ­office the following morning.

They rehashed their discussions, referring repeatedly to the advice from Mr Walker. Ms Berejiklian’s mindset appeared to have softened since the phone call the previous evening, but her position had not been finalised, The Australian understands.

Within minutes of ICAC’s announcement, just after midday, Ms Berejiklian called a press conference and it became clear her intention was to resign. Journalists assembled in the government’s executive offices were soon joined by Mr Kean, Mr Hazzard and Mr Dominello, who entered the room silently and stood in a corner.

As Ms Berejiklian delivered her statement, Mr Hazzard was overheard saying “Hear, hear”. Mr Kean, standing next to him, wept.