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Stateline (NSW) -

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(generated from captions) Juanita. Thank you. Tonight's

top stories - Wollongong MP

Noreen Hay has been stood down

as parliamentary secretary for

health after being adversary

named at Wollongong's sex and

bribery inquiry. The Federal

Government is about to mark 100

days in office but the

celebrations are being tempered

by tax and health care problems. And New Zealand

police are working with

American authorities to

extradite a man accused of

murdering his wife and

abandoning his daughter at a

Melbourne railway station. That

is ABC News for this Friday.

Stay with us now for Stateline

with Quentin Dempster. And for

the latest headlines 24 hours a

day, don't forget ABC day, don't forget ABC online.

Goodnight. Closed Captions by CSI

CC This week - the dangers

of developer donations. In

fact, my job is riddled, it's a

bit like a minefield. It's

riddled with dangers and

traps. Also, the pubs of the

past. It was a place that was

rather despised, particularly

by the female population. And

a small Southern Highlands town

stands up to the trucks.

Welcome to Stateline NSW, I'm

Quentin Dempster. Is Frank

Sartor corrupt? Investigative

journalists, many non-Labor

politicians and their staff

researchers have been scouring

State development approvals to

see if there's a link between

any Ministerial decisions and

donations to the Australian

Labor Party. That's the

inevitable consequence of

Gong-Gate, the Independent

Commission Against Corruption's

phone tap evidence exposing

bribery and what it said was a

culture conducive to corruption

at Wollongong city council. The

culture may not stop at

Wollongong, as developer slush

funding of political parties

has been a contentious issue in

State politics for many years now. Frank Sartor says we're

wasting our time, he has never

allowed any developer donations

to influence him in the

exercise of his discretion as

Minister for plan organise Lord

Mayor of Sydney. If the link

was established, the Minister

would be charged, career destroyed. At this stage

there's no indication that the

ICAC has been tapping Frank

Sartor's phone or those of

senior State planning

bureaucrats or other Cabinet

Ministers as it pursues

Gong-Gate so all we're left

with is the Australian

Electoral Commission's website

returns of political donations

from property developers and

speculation about the size,

timing and motivation for those

donations. On Wednesday, the

'Daily Telegraph' reported land

developer Bob Winnel's Village

Building Company had donated

$164,900 over five years to the

ALP. Its Tralee site was

rezoned for housing in 2006

against the advice of an

independent assessment panel,

turning a $4 million investment

into an asset potentially worth

$200 million. On Thursday, 'The

Sydney Morning Herald' and

'Daily Telegraph' reported

Frank Sartor's department had

de-Claired Sarkis Nassif's site

a project of State

significance. The paper said

the project had donated more

than $136,000 to the ALP since

2002. Mr Sartor has provided a

response to the parliament.

Concerned the media was

smearing Frank Sartor, on

Wednesday Premier Morris Iemma

issued a warning. If you're

alleging he's acted corruptly

in a matter that is before him,

lay it and face the consequences of a liable

action. In parliament, Minister

Sartor spent 19 minutes

rebutting the Tralee Canberra

airport speculation that there

was a link between the

political donations to Labor

and his ultimate decision to

rezone the land. The same

explanation is expected to

prevail in all other queries

about his Ministerial decisions

and interventions. We have a

draft Sydney to Canberra

corridor which recommends

certain amounts of development

including the expansion of

housing of Queanbeyan. Our

strategies in metropolitan

Sydney in the Hunter,

everywhere in the State are

about 25 years of land supply,

about providing land, adequate

land in multiple ownership to

provide housal and affordable housing for the people of the

State. That is what is driving

these decisions and nothing but

that. That is what is driving

these decisions. According to

the department of planning's

major development monitor,

Frank Sartor and his department

in 2006/2007 called in 319 new

or modified development

projects as the consent

authority, of which only 10

were refusals, 15 were

withdrawn. Approved projects

had a capital investment value

of $14.5 billion. A yes or a

no. At a planning forum

covered by Stateline last

August, the Government's

planning reforms, we called them "Sartor's Steamroller",

were designed to let

development rip across NSW. With the Federal Government

maintaining a nonnegotiable migration rate at around

120,000 people a year, the most

confronting presentation at the

planning forum came from the

director-general of planning.

Greater Sydney will have to

accommodate more than 1 million

people over the next 20 to 25

years, requiring 650,000 new

homes, 30 to 40% in greenfield

sites but 60 to 70% in existing

areas. The clear message from

the forum was local councils

get out of the way. Urban

consolidation, that's code for

medium and high density blocks

of flats built along transport

corridors throughout greater

snaer or in regional CBDs in

Wollongong, Gosford, Penrith,

Newcastle, Parramatta and

Liverpool is being cranked up

through more State imposed or

collaborative rezonings. As far as corruption risk is

concerned, it is the let her

rip strategy which has exposed

the Iemma Government to growing

concern slush fund donations

from developers to the ALP have

been welcome comed and actively

solicited. Stung by now daily

revelations of more developer

donations and laryn's crassfund

raising tactic of auctioning

exclusive Ministerial dinners

and lunches to the highest

bidder, Premier Iemma outlined

his propose tools reform the

political donation system

including twice yearly well site disclosure and a

prohibition on MPs having

personal campaign accounts. Mr

Iemma has not gone as far as

Paul Keating suggested in

2001. I think we'd be better

off if developers were

forbidden from donating

election funds to municipal candidates and political

parties. APPLAUSE I used to

tell - when I was the party

President in NSW, the Labor

Party, when we'd often have

meetings of Local Government,

of Labor mayors and aldermen,

you know, that you've got to

work on the basis the

developers have no rights,

they're throiths conferred on

them by the public and when

they come in pushing you around, you've got to learn the

game here, that you push first

and not be left to some sort of

Patsy that carries the stigma

of some greaty development.

Now, it would be a great thing

to keep development money out

of Local Government and out of

political parties, you know, political parties, you know,

most of these people don't care

about the national State,

developers, I mean, they don't

care about the city scapes and

by and a large they're bludging

on the process and should be

kept in their box and not let

into the... APPLAUSE .. The

system. With me now is the

Minister for planning, Frank

Sartor. Minister, thanks for

making yourself available.

Let's cut to the chase. Have

you at any time personally

solicited developer donations

to your rock dale campaign or

to the Labor Party? I don't

believe that I have - I have

been involved in election

funding events. I host advery

large one in beginning of 2006.

I hosted I think a

significantly large one before

the 2003 election and to the

extent that you're involved in

promotional material that you

send invitations or the party

sends invitations, you're

obviously involved in that

aspects of it. If you host an

event you're there, people talk

to you. But, you know, these

events are run and the money's

paid into the Australian Labor

Party. Do you hit the phones

to developers and say, "Look, I

need more money for my Rockdale

campaign?" Not in recent times

that I can remember that I can remember

specifically. When you were

Lord Mayor of Sydney you had to

raise your own funds. I had

separate scpykts it was

properly run and properly

organised. Part of develop -

interaction with developers is

to get them to contribute to

your campaigns? But Quentin,

you remember even when I was

Lord Mayor I had some very

large fundraisers and the rooms

were - it was a very open

affair, lots of people were

there and a lot had nothing to

do with the development

industry. In a democratic

society you invite people to

support your campaign.

Political parties always have

ever since people have got a

franchise to vote. People it's

the nature of our system. We

know that. What we're lead ing

to is any compromise, conflicts

of incrust or corruption. Have

you allow ed exclusive dinners,

lunches or access to yourself to be auctioned by the Labor

Party as part of their

fundraising activities.? There

have been a number of auctions.

There have been a couple the

Labor Party did and a couple

charities did and about

three-quarts of the way through

last year I put a stop to it. I

said, "I can't have any more of

this because I can't know who

is going to buy the auction."

It's all very well for Legacy

to say, "We want to auction the

Minister for lunch," they're a

legitimate cause but you don't

know who you're going to have

lunch with. When they have been

auctioned, I have made sure

staff come and there's always

been ground rules and I have

been extremely careful. In

fact, my job is riddled - a bit

like a minefield, it is riddled

with dangers and traps and I'm

always on guard and try and be extremely careful. Have you

ever taken a financial benefit

in return for a decision that

you are going to give or about

to give? No, never. Never have

and never will. In fact, I'm

vised you'd even ask me that question because I don't

believe anyone has ever

asserted I've gained a

financial benefit. If we raise

money it's earmarked for the

laichted or in the old days for

the rel -- for the Labor Party

or in the old days for the

relevant fund. If the ICAC

turned you upside down and

shook you by the ankles and

looked at your cash and

personal financial accountses,

they would find no revenue from questionable sources?

Absolutely. Absolutely. Not a

problem. They'd find a very big

two bank loans. If the ICAC

tapped your phones, your mobile

phone, home phone and office

phone, they would find no

exchange between you and a

developer where you have given

a developer a a progress report

on a DA or said, "Thanks for

your donation?" No, what you

would find is that there are

phone calls sometimes from

developers or applicants-

You're in constant contact with

develop snrz It is my job to

deal with developers, councils

and community groups. If you

looked at my diary, community

groups come in, developers come

in and councils come in often

to avoid the need for a

meeting. I ring them, I have someone sitting there while I

ring them. I say, "Do we need

to have this meeting? Why

don't you deal with the

department?" I do business over

the phone. I have to to deal

with the workload. It happens

regularly. I'm surprised you're

asking me this line of

questioning to be honest because there are those of us

who go into public office - and

I believe this is probably

nearly all politicians and I

have gone into office because I

believed I could make a

contribution. I look back at

what have-Y have done and my

decisions I took as mayor and

my role in the city, we did lot

of good things. I look back at

my time in the ministry, the

best thing I did was set up a

State cancer stute- It's on

the record. I know it's hurtful

but look at the Western

Australian crime commission who

tapped Ministers' phones and

lobbyists who go around the

planning part in WA and they've

found corruption. That's why

you're under the gun, coming

from Wollongong wool. I'm

trying to tell you if media

reports it wrongly, exaggerates

statements, distorts it like

this week and says things that

are untrue, untruthsful

statements can undermine the

democratic process. You have

never accepted an inducement, a

gift? I've said that. You

asked me already. I have said

it. I never have, have not done

so. Never will. Absolutely

never will. It's important for

people to put balance into

this. I deal with every

application on its merits. If

you look at the individual

decisions and the reasons for

it, all mise decisions stand

alone. This week in parliament

they questioned me about a few

oaf them and I was able to

answer them wholesomely. When

people go to the AEC website,

see the donation and match it

up with Frank Sartor and his

department's decisions, many

times - there may be a pattern times - there may be a pattern

developing because the research

isn't finished - there there

may be a pattern developing

because developers have given

donations and got a decision at

others end. It would be true

to say most industries donate

to political parties. You only

have to look at the relationship between the mining industry and the Howard

Government. The simple sphakt all industries make contribute

sthoons political parties,

often to both sides. The simple often to both sides. The simple

fact is when you're an elected

official, you go to any

function, people come at you

wanting something. They come

into your electoral office and

want something of personal

benefit to them, often

legitimate but they always want

something. The developers are

the same. They're after their

own self-interest, they lobby

and ask you things. There's

nothing wrong with that. The

issue here is there is a

distant link between what the

parties accept and people are

trying to link them. A lot of

it might be to do with the fact

the NSW Labor Government has

said it's open for business,

trying to promote economic

growth. That's a wink and a

nod pretty good for a blind man. If you want to do business

in NSW you've got to hit - and

the Labor Party is in power for

another four years, you have got to

got to hit into the tin. No.

You acknowledge you've got a

huge credibility problem

because of the practices of

slush funding the Labor Party

in particular and you're trying

to get reforms through Local

Government and the Local

Government is resisting that.

Ir saying, "Don't worry about

the corruption risk at local

level, what about State

level?" With the greatest

respect rbleths I think the

word slush funding is

unfortunate. Political parties

raise money so they can sell

their policies. It's part of

our democratic system and quite

frankly, whilst I agree there

is an issue about the

perception problem and the Premier has talked about fixing

that y have moved to 6 that

with the material I put through

Cabinet last weir where we're

creating a range of reforms in

the planning act. The forms

include a planning assessment

so the Minister for planning

can delegate a lot ofditions.

At the moment, under part 3A

the law says only the Minister

can sign the decision but in

the future I'll be able to

shift that across to a planning

assessment commission so the

Minister does not have to get

involved in most of these

applications. The other thing

is we're reforming Local Government. At the end of the

day, despite all the

belly-aching by Local

Government, there have been

five councils, four or five

councils in the last five or

six years found to have

corruption in NSW on a fairly

grand scale as we're seeing in

Wollongong. There hasn't ever

been any such findings against

the Minister for planning for

30 years as far as I can tell.

Has there ever been an inquiry by the Independent Commission

Against Corruption up to State

level? The jurisdiction covers

Planning Ministers, I can

assure you. I'm saying we have

disasters in lOering and that's

why one of the reforms is joint

regional planning panels. The

larger developments will go to

a joint panel that is not

people that have been supported

any way politically or can get involved in the political process. Local Government don't

want that because they want to

keep their right to negotiate

with developers and make

decisions. You know what?

What's good for the goose is

good for the gander. O-Local

Government are going to have to

take leadership and realise the

good old days of being able to

flash around with developers

are over. Frank Sartor, thank

you. Now for grats roots

opinion in our occasional

feature do it yourself

(indistinct) video. The

residents of Bundanoon are up

in arms about a proposal by a

Sydney company to set up a bore

in the middle of town for the

mineral water industry. The

residents have taken the matter

to the Land and Environment

Court using the 40-day rule.

Here is the locals' case

against the scheme. Bundanoon

is a quiet, quaint village in

the Southern Highlands, famous

for the annual brig doon

festival and popular with day

trippers. They go to the

pristine national just down a

very, very steep hill from the

village. Its 2000 residents

face the prospect of huge 19m

long articulated trucks trying,

perhaps vainly and very

noisily, to climb the hill and

plough through the main street

of the village. The trucks will

be twice the size of this one,

filmed in the peaceful country

lane from which the water will

be pumped out and shipped to

Sydney to be bottled as

springwater. The trucks will

pass within 3m of Bundanoon's

oldest house, the heritage

listed cottage. At the top of

the hill will have to navigate

their way through mothers

picking up their kids from

school, with their cars parked

down both sides of the narrow

road and doing 3-point turns

right in front of the trucks.

As the principal of the public

school says, children do silly

and unexpected things and

accidents happen. The other big

worry is the effect on the

National Park. According to an

eminent local geologist, the

supply of water to creeks and

the iconic falls may be

threatened by the pumping of

millions of litres of water out

of the ground each year. That's

tens of millions more plastic

bottles from an industry

recently brand ed by Clean Up

Australia as a global

environmental disaster. This

issue has galvanised the people

of Bundanoon. We had two public

meetings and the hall wasn't

big enough to hold all the

people. Kouns xil the residents

will fight this tooth and nail

in the court and we're asking

the Minister for natural

resources not to renew the

company's water licence which

comes up for renewal in two

weeks. If all else fails, it

looks like we lie down in front

of the trucks. As Barry

McKenzie once showed us, to be

Australian was to be

universally regarded as a

drunken beer-swilling yob. We

might have a more sophisticated

image abroad now but these days

there's probably little

regarded more quintessentially

Australian than the classic

Aussie pub and its bar room

occupants. Now it seems our

pubs are gaining respectability

with the launch this week of a

museum exhibition in Sydney

dedicated to the city's water dedicated to the city's water holes. Nick Grimm reports.

It's interesting to reflect on

where we've come from and see

where we are now. The

exhibition takes people on a

journey from the colonial pub

through to the contemporary

pub. It showcases the then and

now of Sydney's lost pubs.

Pubs have always been a place

where Sydneysiders from the

convicts through to the

contemporary have enjoyed

conviviality, a

get-together. It's hard to

imagine what Sydney's earliest

boozers would have made of an exhibition dedicate ed to the

city's pubs and pub culture,

especially one staged inside

the walls of an old police

Magistrates Court. But that's

exactly what can now be found

at Sydney's Justice and Police

Museum which is just a stone's

throw from where the First

Fleeters wade udshore in search

of a stiff drink, kicking off

the city's long love affair

with the grog. Starting from

the early colonial days when

various governors tried to

control the import and sale of liquor. Governor Phillip tried

to ban liquor being brought ashore. Governor Hunter absolutely bemoaned the fact

that most of the population

were in ebriated at one point

in time. Governor Bligh of

course had little success in

controlling the liquor

situation.

In fact, ever since Governor

Bligh fell foul of the rum

corp, the mixing of liquor laws

and politics in this State has

pretty much resulted in a

volatile cocktail. So Caroline

Mackaness mack, most people I

reckon are going to remember

images like this one associated

with pup life? That's right.

They were very dominant in the

1930s and 40s in Sydney, the

promotion al advertise ing that

showed the Australian

lifestyle, beach, golf, horse

racing, things that were

popular outdoor sports to

promote a healthy lifestyle and

encourage a positive image of beer-drinking. But of course

the more seamy reality of pub

life was harder to find documented. That's right. Over

here we have the Herbert Badham

painting of 1940 war-torn

Sydney showcasing the interior

of a typical pub of the era

with the wonderful floor

covering, the sand pit for the

cigarette butts, the war time

soldier, it bar maid and the

typical characters you might

find in a pub of that era. The

Herbert Badham artwork that

we've found is one of the very

few pub scene interiors that

we've been able to locate in

the fine art world. Well, I

guess in one era of the pub it

was a place that was rather

despised, particularly by the

female population because it

was a sawdust-lined beer swill

where men lined up 6-deep prior

to 6:00. But as the exhibition

shows, luckily some old film

footage survives, documenting

some of the highs and lows of

the State's public houses. We

can also thank the city's criminal element for ensuring

our famous and infamous hotels

still have a record. The

Justice and Police Museum holds

a vast photographic archive of

Sydney's crime world and a lot

of it just happened to resolve

around our pubs. What have we

got in here? This section of

the exhibition looks at pubs

and crime in 20th century

Sydney and focuses on the

Justice and Police Museum

forensic photography collect

from the police department. Fantastic example the gangland

murder of John William Manners,

8 June 1956, showcases the

Australian Hotel in The Rocks,

as it was in the 1950s. And

there's the ghosts too that no

doubt still haunt the old watering holes that have

survived and thrived over the

years. The Australian Hotel at

The Rocks still stands, so do

other even older

establishments. But so many

other pubs are now simply

history. The grand Australia

Hotel was knocked down to make

way for Sydney's MLC centre.

The Suncorp Metway suffered a

similar fate. Her Majesty's and

Hilliards Hotels hotels once

faced on to the city's Pitt

Street mall. And like faint

echos of a boisterous past, the

exhibition shows dozens of

ghostly images like these, the

old pubs long disappeared from

Sydney's changing street scapes. I believe we perform

for people. I believe we do our

utmost, our best to create an

atmosphere for people to

enjoy. Arthur Laundy is one of

the State's most successful

publicans, a man with no less

than 40 licensed premises under his control and significant

interests in the gaming

industry. When he launched the

pub exhibition this week, he

had to give credit to what he

regards as the true saviours of

the modern industry. Poker

machines saved the industry.

The industry was on its knees.

We had a situation there where

more than 600 hotels were

either being looked at by banks

or were in fact in the hands of

receivers. The was no doubt

about the gaming machines came

in and you have seen the result

from there over the last 10

years, now it's hard to find a

dingy pub. Amongst the flashing

lights, shiny brass and

polished concrete of many of

the pubs of today, a true

consure may lament how hard it

is to find examples of

authentic Sydney pubs. To what

extent is the pub world

captured by this exhibition a

last world? There is a lost

world but I would hope pubs are

an ever evolving identity in

our city. They have re-created

themselves. It's an important

aspect of our life that I think

will always be there. Thanks, Nick Grimm. That's Stateline

for this week. The program is

repeated at noon on Saturday on

ABC 1. The '7:30 Report' will

be back on Monday. Bye-bye.

Closed Captions by CSI

In October, 1957, Sputnik captured the imagination of the entire world. Question is... What's this little fella worth today? Find out on tonight's episode of Collectors. THEME MUSIC Tonight - beautiful Chinese snuff bottles... ..Justin goes back in history... ..Gordon drops in to country Victoria... I can't believe it. They're going to let me into the vaults. ..and 'tanks' for the memories. I started with one vehicle, about 10/12 years ago. From then on, I've been adding to it. Hey, guys. Welcome back to the big red couch. Lots to do tonight. (All agree) You were talking about Sputnik there, weren't you? I was. Do you know what it means? No. Well, are you gonna tell us? Are you gonna tell us? I'll tell you. Fine. Then I'm not gonna let these people know