Once super rich businessmen, including one who went broke owing investors $84m, will ask Australian taxpayers to foot the bill for their defence lawyers in a mammoth tax fraud trial expected to last up to seven months.
More than a dozen alleged members of a syndicate, which controversial construction figure George Alex has been accused of heading, have been charged with conspiracy to commit offence – conspire to cause loss and dealing with the proceeds of crime relating to an elaborate $17m tax fraud Australian Federal Police claim to have uncovered in 2020.
In the NSW Supreme Court on Friday, 11 of the alleged syndicate members who intend to plead not guilty were due to be arraigned; however, Justice Des Fagan said he would delay the process because more information was needed about the crown case.
The delay came as the court was told one of the alleged syndicate members, failed former New Zealand Blue Chip property investment company boss Mark Bryers, wanted the trial to be put on hold.
Crown prosecutor Naomi Wootton said Mr Bryers, who owed investors $84m when Blue Chip went broke, sought “a stay of the proceedings, pending the appointment of legal representation”.
Ms Wootton said Mr Bryers’ application also stated that he wanted the court to “urgently request the Attorney-General of NSW appoint legal representation” of his choosing.
“It’s probably that what in truth is sought is to the Attorney-General of the commonwealth,” Ms Wootton said in reference to legislation that allows defendants in a trial of federal indictable offences to receive government-funded assistance.
The likely need for the taxpayers to foot the bill of another alleged syndicate member, Lucas Connell, was also foreshadowed by defence lawyer Daren Anderson.
“There are funding issues in relation to the trial which Mr Connell has not yet resolved,” he told the court.
“A trial of this magnitude and this length is an extraordinarily expensive matter.
“Mr Connell has not yet made an application under the Judiciary Act but anticipates having to do so. I suspect a number of the other defendants are in the same position given the extraordinary length of the trial.”
Mr Alex’s son Arthur, Gordon McAndrew, Lindsay Kirschberg, Kevin McHugh, William Sam Pahl, Adrian Metly, Pasquale Loccisano and his wife Cheryl Rostron are also set to face trial over their alleged involvement in the syndicate.
The wife of jailed drug boss Michael Ibrahim and friend of Ms Rostron, Caitlin Hall, were also allegedly caught up in the syndicate’s activities.
She, Abraham Sayour and the brother of George Alex, Peter Kay, are due to be arraigned in the NSW District Court on March 11 after being charged with recklessly dealing with proceeds of crime. They have not yet entered pleas.
Police allege about $17m, which was meant to go to the Australian Taxation Office, was laundered through offshore companies by syndicate members.
The money was allegedly used to fund fancy cars, property purchases and lavish lifestyles.
Justice Fegan said the crown needed to provide the court with a more detailed plan of its case and the amount of evidence it would present at trial before the arraignments could take place.
“You’re talking about a trial for six to seven months, it requires the court to reserve a judge for xjmtzywthat duration, it requires a courtroom to be fixed and a special jury panel to be summoned that can be available for that duration,” Justice Fagan said.
“A case of this magnitude can’t just be shuffled about.”
The case returns to court on April 11.
