A deputy commissioner of the Australian Taxation Office allegedly shared confidential information with his son in circumstances where he had a clear conflict of interest, a Sydney jury has heard.
Michael Bede Cranston, 59, is on trial in the NSW District Court after pleading not guilty to using information he obtained as a deputy commissioner, and exercising influence in the capacity of his role, with the intention of dishonestly obtaining a benefit for his son.
Crown prosecutor Peter Neil SC, during his opening address on Wednesday, said it would be alleged Cranston instructed a staff member to search for information on an audit after a request from his son, Adam, in 2017.
The prosecutor said Adam Cranston had a commercial relationship with the subject of the audit, Simon Anquetil.
"(Michael Cranston) should have recused himself from that request immediately," Mr Neil said.
Instead, when the staff member couldn't access the protected information, Cranston informed his son, the jury heard.
"There was, on the crown case ... a disclosure of confidential information in a circumstance of clear conflict of interest," Mr Neil said.
The prosecutor said the second charge involved an allegation that Adam Cranston, later in 2017, asked his father for help in relation to a company named Plutus Payroll.
There would be evidence that the ATO had issued a tax assessment against the company and issued orders which had the effect of freezing company accounts, the jury heard.
Mr Neil said Cranston's son, who had a commercial interest, sought his help in organising an urgent meeting with people at the ATO.
The crown case is that Cranston, who was at a "very high level" within the tax office, exercised his influence by contacting an assistant commissioner for assistance.
The prosecutor said it would be submitted that Cranston misled his co-worker in what he said.
But defence barrister David Staehli SC said it wouldn't be proven that Cranston "believed he had no right to make the contacts which he did".
Cranston disputes that he "acted in any way dishonestly in relation to either of these charges", the lawyer said during his opening address.
He told the jury Cranston's role included dealing with disputes and making sure the office's pursuit of taxpayers was reasonable.
In relation to the first charge, Cranston just asked what audit area the matter was in and none of that led to a disclosure of details about what the dispute was from the ATO's perspective, he said.
The trial continues.
Australian Associated Press
