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Samantha Lock

Regional NSW projects to resume after misconduct claims

Newcastle Labor MP Tim Crakanthorp was forced to resign from the NSW ministry earlier this month. (Dan Himbrechts/AAP PHOTOS)

The development of a major sporting precinct and a light rail extension in the NSW Hunter region is set to resume after a ministerial scandal halted the regional development project.

Newcastle Labor MP Tim Crakanthorp was forced to resign earlier this month after he failed to declare commercial property interests by family members while he was minister for the Hunter region.

Properties owned by Mr Crakanthorp's parents-in-law were primarily in Broadmeadow, home to a proposed route for the Newcastle light rail extension. There were also commercial land holdings held by his wife.

At the time, Premier Chris Minns said it was "significant breach of the ministerial code of conduct".

While his portfolio had no executive powers, Mr Crakanthorp was responsible for lobbying and co-ordinating other ministers to drive development in the Hunter.

Mr Minns later instructed the cabinet office to examine all major Hunter development processes involving state government agencies and the matter was referred to the NSW Independent Commission Against Corruption.

The cabinet review sought advice from the Department of Planning and Environment and Newcastle City Council and engaged independent planning expert Chris Wilson.

It found no major issues with processes and recommended resuming work on precinct planning "to reduce delays and provide certainty to stakeholders and the community" according to a government release on Monday. 

The review made recommendations for the Department of Planning and Environment to recommence work and for Planning Minister Paul Scully to finalise a delivery plan by the first quarter of 2024.

Mr Scully said all four of the review’s recommendations will be enacted in order to kick-start urban renewal in the region.

"It is important that, now the due diligence measures have been undertaken, that work can continue," he said in a statement on Monday.

The Broadmeadow Precinct, a 300-hectare site identified for urban renewal in Newcastle, is hoped to provide housing and job opportunities over the next 20 years.

Mr Crankenthorp is now sitting on the backbench.

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