The former New South Wales building commissioner, David Chandler, has told the state’s Independent Commission against Corruption (Icac) that fugitive Sydney developer Jean Nassif warned him he would be harmed if he interfered with the developer’s building projects amid inspections for defects.
Giving evidence on Thursday, Chandler described the alleged phone call as part of a pattern of clashes with Nassif, whom he characterised as “loud and overbearing”. The testimony comes as Icac investigates links between the Liberal Party and the developer, who is the head of the Toplace development group.
Nassif, who is believed to be overseas, is a fugitive from Australian justice and is wanted for questioning over alleged improprieties related to his property empire. Chandler’s account of the threatening phone call adds a new dimension to the commission’s inquiries, painting a picture of a developer who was willing to use intimidation to protect his business interests.
According to Chandler, the call was made after his office began scrutinising Toplace projects for defects. The former commissioner said he took the threat seriously, given Nassif’s reputation and the tone of the conversation. “If you harm my project, I’ll harm you,” Chandler quoted Nassif as saying.
The Icac hearing is examining whether Nassif’s political donations and relationships with Liberal Party figures influenced decisions regarding his developments. Chandler’s evidence is considered crucial because he was the top building regulator at a time when Toplace was under investigation for alleged construction defects.
Chandler, who served as building commissioner from 2019 to 2023, said he encountered resistance from Nassif and his associates on multiple occasions. He described trying to enforce compliance standards that Nassif’s projects allegedly failed to meet. The commissioner said he was not intimidated by the threats but noted that they reflected a broader culture of aggression within parts of the construction industry.
Toplace has been at the centre of controversy for years, with multiple reports of defective buildings, including cracked facades and flammable cladding. The company is also the subject of civil lawsuits from owners’ corporations. Nassif’s whereabouts remain unknown, though he is thought to be living in Lebanon, which has no extradition treaty with Australia.
The Icac inquiry is ongoing, and Chandler’s testimony is expected to be followed by that of other witnesses, including former government officials and political figures. The commission has already heard evidence about how developers used donations and hospitality to curry favour with politicians, but the allegation of a direct threat to a regulator takes the matter to a new level.
Legal experts say that if the threat is proven, it could lead to criminal charges against Nassif, although his fugitive status makes prosecution difficult. Political commentators note that the scandal is damaging for the Liberal Party, which has been accused of being too close to developers.
Analysis
Why This Matters
- The allegation of a direct threat against a regulator highlights the intense pressure that building watchdogs face in NSW, a state with a history of construction defects and corruption.
- The Icac inquiry threatens to further tarnish the reputation of the NSW Liberal Party, which has faced repeated scandals over developer donations and political interference.
- The case underscores the challenges of regulating an industry where powerful developers may use intimidation tactics, and it raises questions about the effectiveness of current anti-corruption measures.
Background
The NSW building industry has been plagued by scandals for years, most notably the flammable cladding crisis that followed the 2017 Grenfell Tower fire in London. In response, the state government created the role of Building Commissioner in 2019 to restore confidence in construction standards. David Chandler, a former army officer and regulator, was appointed to the role. He took a hard line on defective buildings, ordering audits and issuing rectification orders.
Jean Nassif and his company Toplace became a focus of Chandler’s attention. Toplace was responsible for several high-profile developments, including a 42-storey tower in Sydney’s Castle Hill that was found to have serious structural defects. In 2023, an arrest warrant was issued for Nassif after he failed to appear for questioning over alleged financial irregularities. He has since left Australia.
Icac has been investigating the links between developers and politicians, including whether donations were made in exchange for favourable treatment. Chandler’s testimony is part of this broader inquiry, which has already heard that Liberal Party figures attended lavish dinners hosted by developers.
Key Perspectives
[David Chandler/Regulators]: Chandler’s testimony paints a picture of a regulator trying to do his job against a backdrop of intimidation. His account suggests that the building industry’s problems are not just technical but cultural, with developers willing to threaten officials to protect their profits.
[Jean Nassif/Toplace]: Nassif has not responded to the allegations, and his lawyers have previously denied any wrongdoing on his behalf. His supporters argue that he is a successful businessman who has been unfairly targeted by regulators and a hostile media. They note that he has not been convicted of any crime.
[Critics/Skeptics]: Some observers caution that Chandler’s account is uncorroborated and that the Icac hearing is still ongoing. They argue that the threat allegation could be exaggerated or taken out of context. Legal experts also point out that proving such a threat in court would be difficult, especially given Nassif’s absence.
What to Watch
- Whether the Icac hearing produces any direct evidence of the phone call, such as phone records or witness corroboration.
- The eventual release of Icac’s final report, which could recommend charges or refer the matter to the Director of Public Prosecutions.
- Any extradition or diplomatic moves to bring Nassif back to Australia, though this appears unlikely given Lebanon’s extradition policies.