High Court Dismisses Appeal in Obeid-Macdonald Conspiracy Case
The High Court has dismissed an appeal by former New South Wales (NSW) Labor ministers Ian Macdonald and Eddie Obeid, along with Mr. Obeid's son Moses, against their conspiracy convictions. The three were convicted in 2021 for conspiring over the granting of a coal mining license on property owned by the Obeid family in the Hunter Valley.
Approximately $30 million for the Obeid family, gained from a subsequent deal, has not been recovered by authorities. The High Court's unanimous decision concludes the case.
Conspiracy Charges and Sentences
The allegation stated that the three individuals conspired over the coal mine exploration license between 2008 and 2009. Following a judge-alone trial in 2021, Macdonald was sentenced to nine years and six months, Eddie Obeid to seven years, and Moses Obeid to five years. Currently, only Macdonald remains incarcerated, with both Obeids being on parole or supervised release.
An earlier appeal by the three was rejected, leading to the High Court case. Their lawyers questioned whether sufficient evidence supported an agreement capable of constituting a conspiracy. The prosecution, in response, argued that all necessary legal elements for the charge had been met.
Origin of Charges and Misconduct Findings
The charges stemmed from an investigation by the NSW Independent Commission Against Corruption (ICAC) in 2013. The three individuals were charged with conspiracy to commit misconduct in public office.
During the initial trial, NSW Justice Elizabeth Fullerton found Macdonald committed five acts of misconduct in establishing and granting the license. Justice Fullerton also determined that Moses Obeid had a "hands-on approach" and exploited Macdonald's misconduct, with Eddie Obeid being aware of these actions.
Financial Aspects and High Court Confirmation
At the time of the alleged conspiracy, mineral exploration in NSW required the minister's approval, a role held by Ian Macdonald. In 2008, the Obeids owned Cherrydale property in the Bylong Valley, which was partially within the area that later became the Mt Penny coal release area.
The family acquired nearby properties and formed a joint venture with Monaro Mining. After Monaro's withdrawal, the Obeid family partnered with Cascade Coal.
Cascade Coal subsequently secured the mining lease and acquired the Obeid family's interests following media reports about Obeid involvement. Authorities have not recovered any of the estimated $30 million the Obeids gained from this deal.
The High Court affirmed that the Crown successfully presented its case for a conspiracy. The court stated that the alleged agreement involved acts by Macdonald that would lead to the "offence of misconduct in public office," irrespective of the precise methods Macdonald would employ to achieve the plan's objective.