The airline tickets, Sydney hotels and false tax deductions: ICAC’s day of awkward evidence

A husband-and-wife duo claimed false tax deductions for flights and hotels while conducting an elaborate scheme to pocket $660,000 in kickbacks from a property developer, a major corruption inquiry has heard.

Anita Perrottet, the sister-in-law of former premier Dominic Perrottet, was on Friday shown a string of tax expenses listed by her company, Macquarie Consulting, over several months, only for her explanations to fall apart when presented with evidence that her husband, Charles Perrottet, had actually undertaken the regular travel to Sydney while she stayed at home in Melbourne.

The Independent Commission Against Corruption will in coming days present evidence that Charles Perrottet, a younger brother of the former premier and “muscle” of the NSW Liberal Party’s hard-right faction, made the trips to meet Sydney property developer Jean Nassif, who has since fled the country.

The corruption watchdog has alleged Charles Perrottet, along with two other Liberal operatives, shared in a $2 million bribe from the disgraced Toplace apartment developer in exchange for advancing his business interests.

Perrottet began his evidence before the ICAC late on Friday afternoon. He and Anita Perrottet are thought to be the first husband-and-wife duo to provide evidence to the ICAC on the same day.

In one of the most damaging days yet for a witness in the ICAC’s Operation Rosny, Anita Perrottet squirmed on Friday when repeatedly pressed on her tax records and huge payments made to her business despite no evidence of any work being done.

She was the sole shareholder of her company, raising the prospect that the deductions could be the subject of an audit by tax officials following her disastrous evidence.

Perrottet was shown a spreadsheet of business expenses that included several nights at The Darling, a five-star hotel in Pyrmont, and a hotel in Chatswood.

She was then shown a text exchange with her husband Charles on October 28, 2021, which showed he was at the airport.

“So how do you explain, then, why you were claiming for work expenses that you say you incurred in Sydney when you were at home in Melbourne?” Dwyer asked.

“I’m not sure,” Anita Perrottet replied. “It could be an error. I’m not sure.”

Counsel assisting the commission Dr Peggy Dwyer, SC, said the ICAC had phone records and evidence placing Charles Perrottet in Sydney and he had met with Nassif.

The hearing was told of several other examples of flights, hotels and travel expenses in Sydney registered against Anita Perrottet’s company even though she wasn’t there.

Anita Perrottet said she couldn’t remember specific work trips but insisted she would have been meeting with lobbyist Jeremy Greenwood.

Two firms owned by Greenwood ultimately paid $660,000 to Perrottet’s company despite no record of any written work. She has claimed her work was for “verbal advice” and she was paid so handsomely because Greenwood “liked the work I was doing”.

The ICAC believes the payments to her company were a way of washing money given by Nassif to her husband.

Her company was paid $313,500 between July 2020 and December 2021, and $347,499 between January 2022 and December 2022, totalling $660,999. That figure is almost exactly one-third of the $2 million bribe Nassif is alleged to have agreed to pay Charles Perrottet and two other Liberal operatives.

“That’s an enormous amount of money to be paid for circumstances where you cannot produce a scrap of evidence in relation to work done,” Dwyer said. “Do you agree?”

She said she did not. “I believe I was paid what I’m worth. Jeremy believed I was a huge value-add.”

Charles Perrottet, a senior BP executive for more than a decade, was the “muscle” of the Right faction of the NSW Liberal Party and a behind-the-scenes negotiator on factional deals and agendas.

Asked whether his wife had ever claimed any expenses for work he actually did, he responded: “I didn’t do the finances, so I couldn’t be certain.”

The ICAC alleges Charles Perrottet was involved in multiple schemes that may have breached electoral laws or constituted corrupt conduct.

This included sharing in the $2 million bribe from Nassif to stack Liberal Party branches and damage the careers of two fierce opponents, cabinet minister David Elliott and building commissioner David Chandler.

The ICAC heard of a text message Charles Perrottet sent to his wife in which he said he planned to “execute” Elliott, whom he called a “prick”.

Nassif fled Australia in 2022 and police have since zeroed in on him for serious fraud allegations relating to loans he secured to prop up his failing company Toplace. Nassif will give evidence via video link next week.

Charles Perrottet told the ICAC he had met Nassif in person up to 12 times.

He said Nassif would often complain about what he regarded as unfair treatment for his construction projects and was particularly angry about Elliott’s objection to various developments.

Elliott was also a factional opponent of Charles Perrottet.

Perrottet on Friday conceded he “may have” told Nassif he was “working on” getting rid of Elliott.

“I can’t remember specifics about saying that but I probably had that conversation,” he said.

The inquiry continues.

Read more from Sydney’s best coverage of ICAC’s Operation Rosny

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