Veteran Crime Journalist Steve Barrett to face retrial

A jury couldn’t reach a verdict on whether he blackmailed a fraud syndicate to extort $5m from the scam’s alleged mastermind.

Steve Barrett leaves the Supreme Court in Sydney. Picture: NCA NewsWire/Joel Carrett

Veteran crime journalist Steve Barrett will be forced to undergo a retrial, after a jury could not reach a verdict on whether he blackmailed a tax fraud syndicate to extort $5 million from the scam’s alleged mastermind Adam Cranston.

Mr Barrett, 63, who once worked for 60 Minutes, the Seven Network and the Australian pleaded not guilty during a five-week trial over accusations he blackmailed tax fraudsters operating under the business name ‘Plutus Payroll’ in 2017.

The scheme was allegedly spearheaded by the crown’s star witness, property developer Daniel Hausman, and his co-conspirator Daniel Rostanovski.

But, NSW Supreme Court Judge Peter Johnson was forced to discharge the jury – which had been reduced from 12 people to 11 – on May 27, after they had reached an impasse during the ninth day of deliberations.

Mr Barrett has applied for Legal Aid representation moving into the retrial, his former solicitor Andrew O’Brien told The Australian.

“I’ve had to withdraw from the matter, because Steve can’t fund a second trial,” Mr O’Brien said.

“He doesn’t have anybody (to represent him). He’s made an application for Legal Aid.”

Mr O’Brien does not believe Mr Barrett will “meet the criteria” to receive Legal Aid, and said the court will make a decision on how to proceed if that is the case.

Mr Barrett was represented by solicitor Mr O’Brien and defence barrister Clive Steirn in the first trial.

The trial revealed Mr Barrett claimed he was just “shaking the tree” when he was allegedly caught on tape by federal police blackmailing Mr Cranston, the son of former deputy Australian Taxation Office commissioner Michael Cranston, at the Sydney office of tax lawyer Dev Menon in February 2017.

Mr Cranston is accused of using the sham company Plutus Payroll to withhold $105m of pay-as-you-go tax in a scheme police believe was one of the largest alleged tax frauds in Australian history.

The court was told the demand for $5 million was made by Mr Rostankovski after Mr Barrett had left the room.

The jury of six men and five women had deliberated for a marathon nine days, before they told Judge Johnson they “had not reached a majority verdict and cannot see a possibility in doing so.”

The public were unable to view Friday’s hearing to determine the fate of the trial, after a court official did not unlock the door to the courtroom.

A spokeswoman for the NSW Courts said Judge Johnson was “not happy the court was not open” and will be making enquiries to the Sheriff.

The retrial will begin on November 8 2021 before Judge Johnson.