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Senior NSW bureaucrat told Daryl Maguire 'had the ear' of then-premier Gladys Berejiklian, ICAC hears

Gladys Berejiklian is the subject of an inquiry by the state's corruption watchdog. (AAP: Joel Carrett)

A senior NSW bureaucrat was told former MP Daryl Maguire "had the ear" of then-premier Gladys Berejiklian as he advocated for a multi-million-dollar grant for his electorate, the corruption watchdog has heard.

The Independent Commission Against Corruption (ICAC) is considering whether Ms Berejiklian breached public trust in connection to grants awarded in Wagga Wagga, due to a potential conflict of interest created by her secret relationship with the local MP, Mr Maguire.

Secretary of the Department of Regional NSW, Gary Barnes, today recalled there being a "particular interest" from Ms Berejiklian's office in a $5.5 million grant to the Australian Clay Target Association.

In late 2016, that proposal received conditional approval from a cabinet committee chaired by then-treasurer Ms Berejiklian, who went on to become premier in January 2017.

"I seem to remember someone in the deputy premier's office had told me Daryl was well-regarded by the premier as a person that understood the bush, as a Liberal party person and that he had the ear of the premier," Mr Barnes said.

Senior NSW bureaucrat Gary Barnes arrives to give evidence at the ICAC hearing in Sydney. (AAP: Joel Carrett)

Mr Maguire was a "strong advocate" for projects in his electorate, he said.

Mr Barnes agreed the frequency with which staff from the offices of then-deputy premier John Barilaro and Ms Berejiklian asked for updates on the Australian Clay Target Association proposal was "atypical".

He told the commission he gave the project priority partly because of the "political imprimatur" which came with the expenditure review committee's conditional backing.

Mr Barnes emailed Ms Berejiklian's then-chief of staff, Sarah Cruickshank, with updates about the project.

He said he felt this was "warranted" due to the particular interest being shown.

Under cross examination by Ms Berejiklian's barrister, Sophie Callan SC, Mr Barnes said the deputy premier's office was indicating staff were being "hassled" by the premier's office over the progress of the shooting club project. 

"I had inferred from that there's no doubt in my mind he (Mr Maguire) potentially could have been hassling her as well," he said.

Mr Barnes agreed he had never spoken directly with the premier about whether she had an interest in the project.

The inquiry heard Daryl Maguire was a “strong advocate” for projects in his electorate. (AAP: Dean Lewins)

"I thought it was just a particularly pesky backbencher that was continually following up and demanding information around where things are up to in a project he was particularly committed to."

It was "generally accepted" Mr Maguire was passionate and dedicated in following up projects in his electorate, he said.

The ICAC had previously heard the conditions for approval of the grant included a satisfactory business case, as the original document was considered "deficient".

The shooting club had received government funding for its initial business case, but Mr Barnes said proponents were usually expected to fund their own grant applications and this was "unusual".

The Office of Regional Development provided $26,950 for the business case to be revisited.

Upon revision, the project was found to have met a government benefit-to-cost benchmark to qualify for funding.

Ms Berejiklian denied wrongdoing when she resigned at the beginning of this month and said history would show she always acted with integrity.

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