An inner Sydney community group started a court battle on Tuesday against the "goliaths" of the Sydney property industry in a bid to stop the site for a public park in the Barangaroo development being turned into the city's second casino.
The Environmental Defender's Office of NSW, representing the community group Millers Point Fund Inc., is arguing that the NSW Planning Commission had acted illegally in handing over a site allocated to a foreshore park to James Packer's Crown Resorts for its Crown Sydney Hotel Resort development.
"It's without a doubt a case with a David and Goliath character," EDO chief executive Sue Higginson said.
The group will face off against lawyers from Crown Resorts, Barangaroo developer Lendlease, the Barangaroo Delivery Authority, which owns the site and NSW planning minister Rob Stokes.
The group is represented by Michael Hall, SC, but Lendlease has retained Neil Williams, SC, Crown has Richard Lancaster, SC, Barangaroo Ian Pike, SC and Richard Beasley, SC, who conducted the recent inquiry into council conduct for the NSW government, will represent Mr Stokes.
In the land and environment court on Tuesday, the group alleged the NSW Planning Assessment Commission or PAC had failed to defend the space for public use, preserved for that purpose in a concept plan approved in 2007.
It claimed PAC illegally overrode the plan and handed over the waterfront site to Crown in June and shifted the park to a site adjacent to busy Hickson Road.
The EDO says the PAC had illegally awarded the site on the waterfront to Crown by the amendments to the Casino Control Act at the same time as it granted Crown a casino licence. It says the PAC was required under law to decide the location of the casino using the Environmental Planning and Assessment rules, "untainted" by the casino act.
"The commission misunderstood its powers and failed to have an open mind to make a decision," Ms Higginson said.
"It misconstrued the act and therefore the decision [to award the park to Crown] has to fall."
If the community wins – and the onus is on the community to prove the commission had acted illegally – then Crown may have to stand down the construction work that has already begun at the site. In the meantime Ms Higginson said the group was considering an injunction against any construction work at the site.
Crown Sydney Hotel Resort is a $2 billion 6-star hotel and casino in Barangaroo South on Sydney Harbour.
It will have 350 hotel rooms and luxury apartments including a potential $100 million penthouse across 71 storeys, restaurants, bars, luxury retail outlets, and VIP gaming facilities.
The legal challenge from Millers Point Fund is the latest headwind to hit Crown Resorts.
In October, the Chinese government detained 18 Crown staff, three of whom are Australian nationals, including its head of international VIP gambling.
Since then, one employee has been released on bail.
The Millers Point case is likely to conclude on Wednesday, November 16.
