Former New South Wales building commissioner David Chandler has told the state's corruption watchdog that fugitive developer Jean Nassif threatened to "harm" him during a 2021 phone call, according to evidence given to the Independent Commission Against Corruption (Icac) on Thursday.
Chandler, who served as building commissioner from 2019 to 2024, described the call as a direct warning over his inspections of Toplace developments. "He just basically said: Don't you harm my project, and if you harm my project, I'll harm you," Chandler recalled.
Clashes over inspections and a ban from sites
The two had previously clashed in person in 2020, when Chandler said Nassif became "loud and overbearing" during a meeting. Chandler had ordered a "destructive inspection" of a Toplace building in Botany, which required ripping up bathrooms to check waterproofing.
Following the 2021 phone call, Chandler banned Nassif from being present on sites during inspections and resolved not to deal with him directly. A few days before the call in April 2021, Chandler had issued a prohibition order on Skyview, a Toplace apartment complex in Castle Hill, preventing it from being occupied.
Icac inquiry into alleged political donations
Icac is investigating whether payments to a group of young conservatives known as the Reformers amounted to illegal political donations to the NSW Liberal party. The inquiry is examining whether $2m allegedly paid by Nassif to Jeremy Greenwood, Christian Ellis and Charles Perrottet—the brother of former premier Dominic Perrottet—were made to achieve outcomes including the removal of the building commissioner.
Chandler is not under investigation by Icac. Nassif, who fled Australia for rural Lebanon in 2022, is expected to appear before the commission by video link from Lebanon next week. He has previously denied any wrongdoing.
Chandler told Icac that in April 2021, Greens senator David Shoebridge and others sent him photos of substantial cracking in the Skyview building's basement, prompting urgent action. Over his five years as commissioner, Chandler said he undertook hundreds of inspections but was aware Nassif believed he was being singled out.
Alleged campaign to undermine the commissioner
Chandler said he became aware of "an accumulation of pressure" soon after the phone call. He told Icac that politicians had been told by industry figures he was "on the take," and journalists were being offered material seeking to undermine his integrity. "It seemed to be an intentional campaign to white ant me," he said.
The first example of the alleged pressure campaign was an anonymous email to Toplace suggesting that if $5m was paid to a lawyer, William Roberts, the building commissioner would lift orders holding up occupancy certificates. The email was raised with Chandler by Toplace executives, including Sharangan Maheswaran, who is a person of interest at the inquiry. The executives described it as an "attempt at a shakedown," Chandler said.
Chandler suggested they go to the police immediately, but Maheswaran said they were unsure of its origins and were still investigating. Chandler took contemporaneous notes and reported it to his departmental head, Emma Hogan, who ordered an internal audit. Icac heard Toplace executives did not engage with the departmental inquiry, and Chandler was cleared.
Counsel assisting Juliet Curtin asked: "So they could see that this – that is the extortion attempt allegation – was going to be of no assistance in getting the occupation certificate?" Chandler replied: "None."
Second example and resignation
The second example was a video showing Chandler telling workers on a building site that he had an "informal list" of dodgy certifiers provided to banks. The video was reported by The Australian in June 2022, suggesting Chandler had misled a parliamentary committee about regulating certifiers. It led to another internal investigation by Hogan, and Chandler was cleared, though it was suggested he undertake internal training.
The video was also raised with then-minister for fair trading, Eleni Petinos, who was Chandler's boss. Petinos and her chief of staff, Cassandra Lawry, gave evidence last week about being shown the video by Chris Spence, chief of staff to then-planning minister Anthony Roberts, in May 2022. Both told the commission they later believed they were being used in a campaign to destabilise the commissioner. Petinos, Lawry, and Spence are not persons of interest.
Chandler noted media stories at the time that appeared to discredit the minister, creating "an atmosphere of, he's not doing a good job or that his role is under review." In July 2022, Chandler resigned, citing a lack of confidence from the minister and undue pressure from developers. "I just didn't want to risk being asked to leave a role with a shadow like that," he said. Chandler was later reinstated and served until 2024. The inquiry continues.
