A NSW Greens MP says he will demand a police investigation into a Sydney councillor who denies he is a property developer, even though he has applied to develop 150 properties, after an Electoral Commission investigator said its powers were limited.
Fairfax Media reported last March on Fairfield Liberal councillor Peter Grippaudo (also known as Fowler), who said on an Electoral Commission nomination form that he was not a property developer.
That was despite his links to companies, such as Fowler Homes, that had lodged applications to develop nearly 100 properties, including Grippaudo Glade, a private Minchinbury street with five homes.
Claiming not to be a developer could be a way to sidestep a suite of measures that the state government has passed to "restore community confidence" in councils, including forcing developer-councillors to disclose income from development.
But new documents released under freedom-of-information by Canterbury, the Hills and Campbelltown councils show that Fowler Homes has applied in the past year to develop 60 more homes in those councils.
After Fairfax Media's story the NSW Electoral Commissioner said he could "examine allegations, brought to his attention, of candidates knowingly making a false statement".
But a leaked email revealed that a senior investigator at the Electoral Commission, during an investigation into whether Cr Grippaudo was not a prohibited donor, said the body could not examine his business affairs.
"We have no investigative powers," the investigator said.
Greens MLC David Shoebridge said the case showed developer-councillors were operating in a regulatory vacuum.
"I will formally refer the matter to the NSW Police," he said.
"Agency after agency cries out 'it's not my job' because the law is a joke.
"Developers might be laughing but the general public is in a cold fury at this kind of nonsense. This demands a legislative response."
But Gabrielle Upton, the Local Government Minister said the Electoral Commission did have the power to examine allegations that candidates had made false statements.
"Any candidate who knowingly makes a false statement should face the full consequences of their actions," Ms Upton said.
"The NSW government expects all councillors to put the interests of the residents they represent first."
NSW law defines a property developer as a person, company or close associate of a company who regularly submits development applications with the ultimate purpose of selling or leasing land for profit.
Cr Grippaudo declined to answer questions from Fairfax Media.
But he argued earlier that many DAs were "historical". Fowler Homes, he said, dealt in house-and-land packages and, because it submitted development applications only after the land was sold, it could not be considered a developer, which requires developing land before sale.
The dean of the NSW Law School, George Williams, earlier told Fairfax Media the definition of property development would be considered to extend to house-and-land packages.
Until about March, Cr Grippaudo described himself as the chief executive of Fowler Homes.
A company of which Cr Grippaudo and his wife are directors holds all the shares in Fowler Homes. A fortnight ago, the shares were changed from beneficially to non-beneficially owned, a change lodged with ASIC the same day Fairfax Media sent Cr Grippaudo questions about company ownership.
The Independent Commission Against Corruption found in 2005 that Cr Grippaudo used fake qualifications to obtain a building licence.
The Electoral Commission did not respond to questions on Monday.
It said on Friday it had investigated whether Cr Grippaudo was "not a prohibited donor" under state law, something on which it had declined to make a ruling.
