Obeid under renewed ICAC scrutiny

The NSW ICAC has starting hearing fresh allegations of corruption involving ex-Labor MP Eddie Obeid. Source: AAP

EDDIE Obeid was known in the halls of NSW parliament as a fixer but when "stuff hit the fan" in a family business, his brother-in-law says it never crossed his mind to ask the then-MP for help.

Obeid is accused of lobbying state ministers Carl Scully, Michael Costa, Eric Roozendaal and Joe Tripodi to have leases on prime government-owned real estate - home to two Obeid family-owned restaurants - renewed without going to tender.

It's alleged the one-time Labor powerbroker never disclosed his personal connection to the Sorrentino restaurant and Quay Eatery at Sydney's Circular Quay.

The allegations were aired on Monday, the first day of yet another NSW Independent Commission Against Corruption (ICAC) inquiry into Obeid, who has already been declared corrupt by the watchdog in relation to separate matters.

Under questioning from counsel assisting the commission, Ian Temby QC, the ex-MP's brother-in-law John Abood agreed that while he owned Circular Quay Restaurants Pty Ltd (CQPL) on paper, the major owner was really an Obeid family trust.

CQPL, in turn, owned the two restaurants.

The inquiry has heard Mr Abood was given the job to manage the eateries after he struggled to find work.

He said he spoke to "the boys" - Eddie Obeid's sons - and they got together $2.4 million to buy Sorrentino, Quay Eatery and a nearby cafe.

"I was fronting the businesses, not a front for the Obeids - there's a difference, sir," Mr Abood said.

He also denied Obeid was called in to help when NSW Maritime, the landowner, moved to seek expressions of interest from potential new lessees without giving existing retailers preference.

"Going to market in this way has the obvious advantage of ensuring that public assets provide a good return to the public purse," Mr Temby said in his opening address.

Ultimately NSW Maritime altered its draft commercial lease policy to allow for direct negotiations with existing tenants and new leases were indeed granted to CQPL in 2009.

"When, if you want to say - excuse me commissioner - that stuff hit the fan, we had to react to that," Mr Abood testified.

"I never even contemplated talking to Eddie about it and I never did, sir."

The three-week inquiry is part of three fresh investigations by the corruption watchdog, codenamed Cyrus, Cabot and Meeka.

It will also examine claims Eddie Obeid influenced public officials to allow generous water licences for a coal-rich Hunter Valley property owned by his family.

It's also been alleged Obeid hand-delivered to then-Treasurer Michael Costa a letter requesting a meeting with a director of Direct Health Solutions, without revealing that his family and long-time associate Rocco Triulcio had a combined $450,000 investment in the company.

Mr Temby has foreshadowed that along with Obeid, prominent bureaucrats Steve Dunn - who recently headed up the O'Farrell government's controversial Game Council review - and Mark Duffy could face corruption findings.

Obeid has denied any wrongdoing but promised to cooperate.

"No one is ever happy with having to answer continuous allegations but as long as they have hearings, I'll keep turning up," he told the Seven Network.

"I'm not corrupt - and time will tell."

He is expected to give evidence next week.

The inquiry continues before Assistant Commissioner Anthony Whealy QC.

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