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Freedom251 › Blog › New South Wales politics

‘Rotten apples’: how Operation Rosny shook the NSW Liberal Party

By Freedom251 Team · · 4 min read

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Operation Rosny brought damaging public scrutiny to alleged donation arrangements and membership recruitment involving people associated with the NSW Liberal Party. But “undid” is a political description of reputational and factional damage—not a formal finding that the party was corrupt or had been brought down. As of 3 October 2026, the official material cited here describes an investigation, not final findings.

What is Operation Rosny?

Operation Rosny is an NSW Independent Commission Against Corruption (ICAC) investigation into alleged political donations and Liberal Party membership activity. ICAC’s public notice, issued on 1 July 2026, sets out matters it is investigating; it does not establish that the alleged conduct occurred.

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The public inquiry was announced to begin on 27 July 2026. In a 23 July release, ICAC said the inquiry was expected to run for eight weeks. Australian Associated Press (AAP) later reported that the inquiry heard from 20 witnesses over 38 sitting days. Those are different measures: the eight weeks was an announced expectation, while the witness and sitting-day counts are AAP’s account of the hearings.

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What is ICAC investigating?

ICAC’s notice describes allegations about donations solicited or accepted for purposes including recruiting or renewing Liberal Party members. The alleged conduct spans different donors and arrangements, and the notice refers to possible offences under sections 143, 144 and 145 of the Electoral Funding Act 2018 (NSW). These are matters under investigation, not charges, convictions or findings of corrupt conduct.

Alleged donations and membership activity

For the period 2019 to 2023, ICAC is investigating whether people solicited or accepted donations that were undeclared, exceeded applicable caps or came from prohibited donors, for purposes including party membership recruitment or renewal. The notice also describes alleged payments by Catholic Schools NSW and alleged donations made through a company on behalf of hotelier Michael O’Hara.

Jean Nassif and Toplace

In a separate allegation covering approximately 2020 to 2023, ICAC is investigating whether donations by or on behalf of property developer Jean Nassif and Toplace Pty Ltd were solicited or accepted for Liberal Party membership purposes. ICAC identifies Nassif and Toplace as prohibited donors under the Electoral Funding Act 2018 (NSW). The notice’s description of their status and the alleged donations is not a finding that a donation was made unlawfully.

What “prohibited donor” means here

In this inquiry, the phrase refers to donors ICAC identifies as prohibited under NSW electoral funding law. The public notice frames possible issues around prohibited donations, undeclared donations and donations above applicable caps. It does not provide an established total of unlawful donations.

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How did the inquiry begin, and who was drawn into the story?

AAP reports that the inquiry was sparked after NSW Liberal MP Ray Williams used parliamentary privilege in 2022 to claim that party powerbrokers were involved in branch-stacking and improper dealings with local councils. Those claims provide reported political context; ICAC’s notice is the authoritative source for the matters formally under investigation.

AAP describes the hearings as examining alleged collusion between Nassif and party powerbrokers, including two brothers of former NSW premier Dominic Perrottet. Catholic Schools NSW chief executive Dallas McInerney, hotelier Michael O’Hara, some Strathfield councillors and others also feature in the inquiry’s reported story. Their appearance in reporting or hearing material should not be mistaken for a finding against them.

AAP also reported that federal Liberal figure Angus Taylor was mentioned in hearing material but was not under ICAC investigation. It reported that Taylor denied making pledges to the Reformers. Being mentioned in inquiry material does not itself mean a person is under investigation or has been found culpable.

Did ICAC prove Liberal Party corruption?

No final finding is established in the official material cited here as of 3 October 2026. ICAC’s 1 July notice describes allegations it is investigating and possible offences; it is not a report determining that the party or any named person committed an offence. The cited sources do not establish a proven total for unlawful donations either.

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Keep three things distinct: what ICAC formally says it is investigating, what witnesses reportedly said at public hearings, and what the commission ultimately determines. AAP’s account of testimony and political reaction can explain the inquiry’s reach and impact, but it does not substitute for ICAC findings.

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How did Operation Rosny affect the NSW Liberal Party?

AAP reported that the hearings damaged the party’s reputation as it approached a state election, bringing allegations about donations, factional relationships and membership recruitment into public view. That is a reported political effect, not proof that ICAC caused the party’s organizational collapse. The headline’s “undid” is best read as a description of exposure and reputational harm, not literal dissolution or a legal verdict.

Why commentators called it consequential

Anthony Whealy, a former ICAC assistant commissioner and retired Supreme Court judge, called Rosny “a very consequential inquiry”. He said it took “quite a broad swipe into the machinations of party politics, the relationships between developers and politicians and where those intersections can go seriously wrong.” Those are Whealy’s assessments of the inquiry’s significance, not ICAC conclusions.

Whealy also said the inquiry reinforced the idea that “There are some rotten apples around” but “doesn’t destroy trust altogether in the political system”. He described it as “a comfort to the community … that there’s a vigilant oversight body doing its job properly.” The “rotten apples” phrase is a commentator’s characterization; it does not identify a formal category or finding by ICAC.

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Oversight value and criticism of the process

Former NSW premier Nick Greiner emphasized the value of public accountability while criticizing how ICAC proceedings can unfold. AAP quoted him saying, “There’s room for more common sense and discretion” and “Clearly the time frames are absolutely absurd”. These are Greiner’s opinions, not an independently measured estimate of how long Operation Rosny took or a finding about the case.

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New South Wales politicsNSW ICACNSW Liberal PartyOperation Rosnypolitical donations

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