ICAC played muffled secret recordings in cabinet minister smear plot

Right-wing Liberal apparatchik Charles Perrottet has repeatedly told a corruption inquiry he had no memory of why he had secret recordings of a senior cabinet minister and long-time political nemesis when he was working to secure support for his brother Dominic to become premier.

The Independent Commission Against Corruption on Thursday heard claims the audio files of David Elliott were obtained to “smear” the then police minister and ensure he did not retain a ministry after the resignation of Gladys Berejiklian in October 2021.

At the time, Charles was working to ensure Dominic had the numbers to replace Berejiklian.

Audio was played to the commission, but the words were difficult to hear over a rhythmic sound which counsel assisting Dr Peggy Dwyer, SC, said was probably a heartbeat, suggesting the use of a “recording device”.

Perrottet said he did not know how he came to possess the covertly recorded audio file of Elliott, who the commission heard has been a factional enemy of the right wing for many years.

As part of its wide-ranging inquiry, the commission is investigating whether key Liberals, as well as disgraced property developer Jean Nassif, were working to end Elliott’s political career.

“I had no recollection of these until now,” Perrottet said of the recordings.

Perrottet said he did not know who gave him the files, nor who he sent them to, and suggested the audio could have come from a pocket dial.

“Have you had a conversation with somebody else about putting forward the idea that it’s a pocket dial?” Dwyer asked. Perrottet said no.

Texts between fellow Liberal operative Christian Ellis and Perrottet read to the commission revealed Nathaniel Smith, a former Liberal MP who lost his seat in 2023, also came to possess the audio.

Other texts between Ellis and Shane De Kauwe, a private investigator, showed he was helping Ellis clean up the audio. The recordings were mentioned in early ICAC evidence when Chris Spence, former chief of staff to Liberal frontbencher Anthony Roberts, said Perrottet had sent them to him.

The commission also heard Ellis sent Charles a statutory declaration with unfounded claims suggesting Elliott was having an affair. Perrottet was shown texts he exchanged with Ellis when the right wing was crunching numbers for Dominic.

“It’s trying to smear him by suggesting that he was having an affair, clearly, isn’t it?” Dwyer asked.

“Yes,” Perrottet said.

Perrottet told Ellis he believed his brother should sack Elliott from the ministry, and said Dominic blamed Charles for losing Elliott’s support because of the factional work he was doing in the Hills.

Earlier, Perrottet told the commission he wanted to expand the Right faction in the Hills but insisted he did not use money from Nassif to achieve political outcomes.

Developers have long been banned from making political donations in NSW.

Dwyer suggested the reason Perrottet attended a lunch at the Chiswick home of Nassif in September 2020 was to celebrate a significant payment from the developer.

The commission has previously heard a $148,500 cheque was paid to Beckington, the lobby firm run by his Liberal allies Jeremy Greenwood and Ellis, on September 11.

Greenwood and Ellis also allegedly shared in the $2 million bribe from Nassif.

Perrottet, a BP executive, said there was no correlation between the lunch, also attended by Greenwood and Ellis, and a $148,000 cheque he received from Nassif’s construction company Toplace on behalf of Beckington days earlier.

“I’m suggesting to you that that lunch was to celebrate this new arrangement that you had,” Dwyer asked. “No,” Perrottet replied.

Dwyer: “Where Jean Nassif would give money through Beckington to support political outcomes?” Perrottet: “No”.

The commission was also shown texts between Greenwood and Ellis sent about the time Nassif’s high-rise residential development in Cherrybrook was refused in April 2020.

Greenwood told Ellis: “Charles f—-d this whole thing”, referring to Perrottet.

The business partners discussed their fear they would lose Toplace and Nassif as a client if they could not get planning approval for the Cherrybrook project.

In other texts between Ellis and Perrottet, the pair discussed a development proposal and people Perrottet should contact, including Liberal MP Robyn Preston. The application number referenced in one of the texts correlated to the Cherrybrook development, the commission heard.

The commission was told Perrottet sent a text to Ellis reporting back on a call he had with Preston, but Perrottet told the inquiry he could not be sure he ever made that call.

Dwyer: “Well, did you regularly lie to Christian Ellis at that time to tell him you were doing some things and not others?”

Perrottet: “I may have.” He told the commission he might have lied to sound supportive.

Dwyer: “But you’ve now told us, Mr Perrottet, that you lied to Jean Nassif, you sometimes lied in politics for various things, and then you lied to your close friend Christian Ellis.