A long-time Sydney mayor who was once the Labor candidate for a marginal federal seat has been found corrupt by an independent watchdog.
City of Canada Bay Council mayor Angelo Tsirekas was investigated by the NSW Independent Commission Against Corruption (ICAC) over benefits he received from a property developer and a close friend who was an agent of the company.
The commission recommended Mr Tsirekas be removed from office and is seeking advice from the NSW Director of Public Prosecutions about whether any criminal charges could be laid.
A final report released on Thursday found that between November 2015 and February 2019, Mr Tsirekas engaged in serious corrupt conduct by seeking and accepting benefits from developer I-Prosperity Group and its agent Joseph Chidiac.
Mr Tsirekas received benefits to the value of at least $18,800 – including overseas flights and accommodation – in exchange for using his functions as mayor to favour the company’s interests.
Those related to property proposals at Rhodes, in Sydney’s inner west, that came before the council.
The overseas travel included several trips to China, one of which was in January 2016 to attend the wedding of Zhouxiang (Harry) Huang, I-Prosperity’s director.
ICAC found Mr Tsirekas deliberately failed to disclose a conflict of interest in regards to his relationship with Mr Chidiac.
It rejected an explanation from the mayor that he did not know what Mr Chidiac did for a job, despite the pair admitting they had been close friends for many years.
A Canada Bay spokesperson told AAP the council was aware of the report but was unable to provide any comments until it had been reviewed.
Mr Tsirekas was not immediately available for comment.
In its recommendations, ICAC requested the code of conduct for local councils be amended to require councillors to disclose political donations received under electoral laws for the Commonwealth or other states as non-pecuniary conflicts of interest.
Mr Tsirekas was first elected Canada Bay mayor in 2002 before resigning from the council in June 2016 to contest the seat of Reid for Labor in the federal election.
He was unsuccessful, losing to former Liberal MP Craig Laundy, and was re-elected to council in September 2017.
The commission noted that during the federal campaign Mr Tsirekas was able to receive Commonwealth political donations, including from three individuals associated with I-Prosperity who donated $10,000 each.
Mr Tsirekas also told the commission he had received funds or “loans” from others, including Mr Chidiac, which he said were to finance his overseas travel.
Mr Chidiac said he paid airfare and accommodation expenses for Mr Tsirekas for a January 2016 trip to China and during a trip to Lebanon in October.
Mr Tsirekas repaid about $9000 after his divorce proceedings were finalised and after he became aware of the corruption investigation.
The commission said the evidence demonstrated that, from 2016 to July 2020, Mr Tsirekas had the benefit of effectively an interest-free loan from Mr Chidiac.
The conduct of both Mr Tsirekas and Mr Chidiac will be referred to the NSW Director of Public Prosecutions to determine if any criminal charges should be laid.
The council has previously been in the watchdog’s spotlight when former NSW Liberal minister John Sidoti was found to have engaged in serious corrupt conduct in an attempt to benefit his family’s local property interests.
Mr Sidoti was found to have misused his position to try to improperly influence Liberal councillors.
He disputes the findings and has launched court action to have them overturned.
Source: AAP