NSW Aboriginal Affairs minister Ben Franklin has requested his department provide advice on the Independent Commission Against Corruption's investigation into the Awabakal Aboriginal Land Council.
The commission said on Wednesday that Nicholas Petroulis, Despina Bakis, Debbie Dates and Richard Green had engaged in serious corrupt conduct through their involvement in a dishonest scheme involving the false sale and development of $12 million worth of Aboriginal-owned land between 2014 and 2016.
The release of the Investigation into dealings involving Awabakal Local Aboriginal Land Council land (Operation Skyline) report brought to an end one of the longest investigations in the commission's history.
"The Minister is aware that the ICAC has released the commission's report into dealings involving the Awabakal Local Aboriginal Land Council. Corruption anywhere in the state needs to be called out and addressed," a spokesman for the minister said.
"The Office of the Registrar and the Department of Aboriginal Affairs have been asked to provide advice on this matter to the minister.
"The NSW Government will continue to work with the Office of the Registrar of the Aboriginal Land Rights Act 1983, following ICAC's recent findings"
The scheme involved former assistant tax commissioner Mr Petroulis falsely representing that a company he controlled, Gows Heat Pty Ltd (Gows), had an option to purchase five Awabakal Local Aboriginal Land Council properties in Newcastle and Lake Macquarie that it could on-sell to another party.
To provide credibility for this representation, solicitor Ms Bakis prepared false contractual documents between Gows and the land council.
Mr Petroulias' conduct included improperly altering land council board meeting minutes and participation in preparing the sham agreements.
Gows' purported option was "sold" to a third party, the Sunshine Property Investment Group Pty Ltd (Sunshine), for more than $1 million. While Sunshine had been informed that the bulk of the money would go to the land council, all of the funds went to Mr Petroulias, former Awabakal deputy chairman Mr Green and Ms Bakis.
Mr Petroulias ultimately received over $600,000, and Mr Green and Ms Bakis received financial benefits totalling $244,000 and $179,000 respectively. Former chairwoman Ms Dates did not gain a financial benefit.
The commission also said consideration should be given to the prosecution of Mr Petroulis, Ms Bakis and Mr Green. It did not recommend Ms Dates be prosecuted.
NSW Aboriginal Land Council chairman Danny Chapman said the land council was reviewing the report.
"A framework of good governance and accountability is important for any Local Aboriginal Land Council," he said.
"We will continue to support and foster a culture and system of strong governance and improvement."
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