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Liberal 'set up' in apparent bid to dump building boss

Eleni Petinos feels disgusted her office was used to allegedly conspire against a bureaucrat. (Bianca De Marchi/AAP PHOTOS)

A Liberal MP says she's been left “disgusted” by an apparent plot to oust a building boss despised by a fugitive property developer.

Former NSW minister Eleni Petinos has given evidence to a corruption inquiry over the 2022 resignation of then-building commissioner David Chandler.

The Independent Commission Against Corruption is probing allegations Liberal Party operatives sought cash from developer Jean Nassif in exchange for political outcomes.

This allegedly included the ousting of Mr Chandler, who was leading a widely publicised campaign against rogue players in the construction industry.

CHRIS MINNS BUILDING COMMISSION PRESSER
David Chandler resigned in July 2022 after being cleared of allegations of misconduct. (Jenny Evans/AAP PHOTOS)

Nassif is wanted by NSW Police over a fraud investigation, but has reportedly fled overseas.

Ms Petinos, then the fair trading minister, held a "robust" but workable relationship with Mr Chandler, the commission was told.

Strange encounters with party operatives have since left her suspecting her office was used to move along the divisive commissioner.

She recalled former Liberal premier Dominic Perrottet's factional power-broking brother, Charles, suggested Mr Chandler was "dodgy" when she assumed the role. 

Chris Spence, a right-faction operative and chief of staff to another MP, also made passing comments regarding a video apparently capable of harming Mr Chandler's reputation.

ICAC OPERATION ROSNY
Assisting counsel Peggy Dwyer has grilled a Liberal MP and her staffer at the ICAC inquiry. (Bianca De Marchi/AAP PHOTOS)

Counsel assisting Peggy Dwyer SC asked whether the MP suspected she or her office were being "used to try and get rid of Mr Chandler".

Ms Petinos said "subsequently" she had. 

“Frankly, even the little I knew coming into here today is enough to leave me disgusted and to feel like personal relationships were lent on in a highly improper way, and that’s not someone that you would call a friend,” she said.

Her chief of staff Cassandra Lawry told the commission she was shown the covert clip by Mr Spence.

Mr Spence said words along the lines of “if you want to get rid of him this might help", Ms Lawry told the commission.

Ms Lawry said she was not initially concerned about what she was being shown, because she did not know if it was true.

On June 20, 2022, records showed a flurry of phone calls from Mr Spence trying to get hold of Ms Lawry and Ms Petinos.

The next day, Ms Lawry referred the video to ICAC.

Cassandra Lawry
Former Liberal staffer Cassandra Lawry said she felt like she was being set up. (Dan Himbrechts/AAP PHOTOS)

"It's pretty clear, then, isn't it ... he was insistent to get hold of you to press you do something about Chandler?," Ms Dwyer asked.

Ms Lawry denied Mr Spence told her to refer the video to ICAC and said she did not consult with Ms Petinos before doing so.

However, Ms Lawry admitted afterwards she began to wonder whether Mr Spence had a motive for showing her the video and the text messages.

"Did you feel like you were being set up?" Ms Dwyer asked.

"I did," Ms Lawry said.

The video was subsequently leaked to a journalist at The Australian newspaper, which published the story, leading to the allegations against Mr Chandler becoming public.

“It was certainly a ploy to get rid of him,” Ms Lawry said.

Mr Chandler resigned in July 2022 after being cleared of the allegations of misconduct.

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