Former Labor MP and Restauranteur Face Charges Over Alleged Election Funding Scheme
The New South Wales Electoral Commission has announced that the Director of Public Prosecutions has commenced proceedings against former Labor MP Ernest Wong and restaurateur Jonathan Yee. The charges relate to an alleged scheme to circumvent election funding laws during the 2014 campaign to elect Chris Minns for the seat of Kogarah. NSW Premier Chris Minns has not been accused of any wrongdoing.
No other individuals are being referred for prosecution, and there are no active lines of inquiry.
Legal Proceedings
On Tuesday, the NSW Electoral Commission confirmed that the DPP is proceeding with charges against Wong and Yee. The two men will face court on June 16. Electoral Commissioner Rachel McCallum stated that no other individuals are being referred for prosecution, and that there are no active lines of inquiry.
Allegations
The commission alleges that between 28 October 2014 and 12 August 2015, Yee and Wong carried out a scheme to circumvent prohibitions under the Election Funding, Expenditure and Disclosures Act 1981. The alleged scheme relates to a $10,000 donation to the Minns campaign made in 2014.
Background
The NSW Electoral Commission became aware of the potential breach during the 2019 ICAC Operation Aero investigation. The commission identified suspected illegality in late 2022 but did not make it public before the March 2023 election, citing a lack of authorization to disclose alleged breaches of repealed legislation.
In 2022, ICAC found Wong engaged in corrupt conduct by concealing illegal political donations from Chinese property developer Huang Xiangmo. ICAC also recommended seeking the DPP's advice on potential prosecution of Yee and others.
The commission provided materials to the DPP between March and May 2024 after receiving materials from the NSW parliament's Public Accountability and Works Committee. The commission stated it decided to disclose the information, citing strong public interest in supporting the administration of justice and the integrity of the electoral funding system. It noted recent changes to the Electoral Act 2017 allow such disclosure.
"Donations were received in good faith at the time and subsequently repaid." — Premier's Spokesperson
Premier's Response
A spokesperson for Premier Minns stated that donations were received in good faith at the time and subsequently repaid, and that Minns has rejected any wrongdoing from the beginning. Minns has repeatedly denied any wrongdoing.
An affidavit from former Labor staffer David Latham, presented to a parliamentary inquiry, alleged that Minns asked him for advice on how to get unreceipted money into the 2015 campaign fund. Minns denies this conversation occurred, stating:
"I completely and emphatically deny it, as well as any ancillary conversations that people may be alleging that took place in relation to that."
Fundraiser Details
Concerns about a 2014 fundraiser hosted at Sunny Seafood restaurant in Hurstville have been raised in connection with the allegations. According to a donations declaration, the event raised less than $6,000 from 10 donors. However, a Chinese-language newspaper article published at the time reported that approximately 200 supporters attended the dinner.
When questioned about the discrepancy between the number of reported attendees and the declared amount raised, Minns stated he could not provide an explanation, attributing his lack of recall to the event occurring 11 years prior. He suggested multiple attendees might have collectively purchased tables. The Premier did not dispute the report of 200 attendees.
Future Legislative Changes
Special Minister of State John Graham confirmed that the government plans to introduce a bill early this year to amend current legislation, enabling the NSWEC to publish the results of compliance audits. This change would allow the agency to provide explanations regarding actions taken concerning cash donations.