Saturday, 6 December 2014

NSW Independent Commission Against Corruption seeks urgent hearing in Australian High Court to confirm and protect its investigative powers


On 30 October 2014 the NSW Independent Commission Against Corruption (ICAC) announced a public inquiry into allegations concerning alleged corrupt conduct by a senior public official.

This inquiry known as Operation Hale was due to commence on 10 November 2014 and run over a two-day period.

However, by 10 November 2014 the NSW Supreme Court had handed down its judgment in Cunneen and Ors v Independent Commission Against Corruption [2014] NSWSC 1571.

The Court found against the plaintiffs; Margaret Cunneen, Stephen Wyllie and Sophia Tilley – concluding that:

 118.       It follows from the above that the plaintiffs have not made out the issues raised in their summons and that their summons should be dismissed. I have not heard argument as to costs and accordingly, I will give the parties an opportunity to make submissions on that issue and I reserve my decision as to costs.
 119.       The orders which I make are as follows:
(1) The plaintiffs' summons is dismissed.
(2) Costs are reserved.

As an appeal was foreshadowed ICAC agreed to delay the commencement of Operation Hale hearings.

On 18 November 2014 in Cunneen v Independent Commission Against Corruption [2014] NSWCA 421 the NSW Court of Appeal found for the plaintiffs - concluding:

123 The applicants are entitled to the relief sought in the summons, to the extent of a declaration that the Commission had no authority to investigate the matter identified in the summons by reference to the general scope and purpose of the proposed public inquiry and the nature of the allegation or complaint being investigated.

209 I agree with Basten JA that there was no power for ICAC to conduct an investigation into the allegation as described in the summons issued pursuant to s 35 of the ICAC Act because the alleged conduct did not fall within the definition of "corrupt conduct" in s 8(2) of the Act. I agree that the orders proposed by Basten JA should be made.

Neither judgement addressed the matter of whether the alleged incident occurred. ABC News reports that; Ms Cunneen has denied allegations she told her son Stephen Wyllie's girlfriend, Sophia Tilley, to pretend to have chest pains to avoid a blood-alcohol test after a car crash.

On 5 December 2014 ICAC issued the following statements:

ICAC Operation Hale public inquiry
Friday 5 December 2014

Today's majority decision of the NSW Court of Appeal with respect to the NSW Independent Commission Against Corruption (ICAC)'s Operation Hale public inquiry fundamentally affects the scope of the Commission's powers to conduct investigations into corrupt conduct.

It is critical to the exercise of the Commission's powers generally that the construction of section 8 of the ICAC Act is settled.

Accordingly, the ICAC will seek leave to appeal to the High Court of Australia.
The Commission will be making no further comment at this stage.

Media contact: ICAC Manager Communications & Media, Nicole Thomas, 02 8281 5799 / 0417 467 801

Statement regarding Operations Credo and Spicer
Friday 5 December 2014

The majority decision in Cunneen v ICAC [2014] NSWCA 421 fundamentally alters the basis of the Commission's powers with respect to significant parts of Operations Credo and Spicer.

 The Commission is seeking special leave in the High Court of Australia as a matter of urgency.

 Until the proceedings are resolved, the Commission will not complete the reports in Operations Credo and Spicer.

 The Commission will be making no further comment at this stage.

Media contact: ICAC Manager Communications & Media, Nicole Thomas, 02 8281 5799 / 0417 467 801

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