An attempt to revoke special powers handed to the NSW corruption watchdog, allowing it to use potentially illegal recordings, will be backed by the coalition.
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Attorney-General Michael Daley this week formally granted the Independent Commission Against Corruption (ICAC) the exemption to surveillance laws after it obtained what appeared to be recordings of private conversations made by a third party.
The recordings were uncovered during ICAC's probe into the alleged stacking of a Sydney council in order to influence planning decisions linked to fugitive developer Jean Nassif.
The change, which did not need parliamentary approval, expires at the end of 2025 and is not restricted to one investigation.
The lack of restrictions drew strong condemnation from senior opposition figures concerned about the "outlandish, open-ended" powers.
The recording of private conversations is banned in NSW without the consent of all the main parties involved, as well as the possession of such recordings.
"I regret to say that there is a real question whether we have an integrity agency that has broken the law," opposition leader Mark Speakman told reporters on Thursday.
He asked how ICAC knew the recording was made by a third party and whether it had followed the law by passing it to police.
Asked to choose between the use of illegal recording or rooting out corruption in NSW, Mr Speakman said both were important.
"Stopping crime is important ... but we don't let police make covert recordings without getting judicial oversight," he said.
AAP put the coalition's questions to ICAC, which said it had not closely reviewed the material in question.
"Instead, in order to avoid any doubt about the commission's ability to lawfully hold, publish or communicate any of the records, the commission sought legislative amendment," a spokeswoman told AAP.
"The commission considers it has acted appropriately and in accordance with relevant legal requirements."
ICAC also alerted its own watchdog, the Inspector of ICAC, before approaching the government on August 9 for the powers, the spokeswoman added.
However, the opposition plans to support a disallowance motion by Liberal Democrat upper house MP John Ruddick.
Mr Ruddick welcomed the support and said success would likely rely on the support of the Greens as well.
"The Greens have in the past had a commitment to civil liberties, and this will be a test to see if they still hold those principles," he told AAP.
The motion will likely be debated in the next sitting fortnight beginning September 12.
ICAC chief commissioner John Hatzistergos informed the government two weeks ago the anti-corruption agency had obtained "certain evidence which appears to be records of private conversations made by a third party".
Mr Hatzistergos said the recordings were of interest to its investigation but they might have been made in breach of surveillance laws.
The ICAC investigation stems from allegations made by state Liberal MP Ray Williams last year under parliamentary privilege.
He said senior party members were paid to install councillors on The Hills Shire Council who would support development applications from Nassif's company, Toplace.
NSW Police recently issued a warrant for Nassif's arrest amid allegations a $150 million loan from Westpac was obtained using fraudulent pre-sale documents for an apartment complex in Castle Hill.
The 55-year-old left the country on December 22 is believed to be living in rural Lebanon.
Since his departure, Toplace has been put into administration as it deals with a series of defect notices for multiple apartment blocks.
Last month, NSW Premier Chris Minns urged Nassif to turn himself in to authorities, following news the company was in financial strife.
Australian Associated Press
