NSW govt, oppn clash over party donations

NSW Premier Barry O'Farrell says he will ask for an investigation into claims a Liberal MP received $7000 from a property developer.

Labor frontbencher Walt Secord said electoral records show Liberal Tim Owen, the MP for Newcastle, received the amount from Ruth Dossor in November 2010.

Ms Dossor is a director of the residential property developer Evergreen Living Pty Ltd and is described in publicity material as a property developer, Mr Secord said in a statement.

Property developers and directors of tobacco, gambling and alcohol companies are currently banned from making political donations, although a government-dominated committee is reportedly considering recommending that the ban be rescinded.

"Serious questions need to be answered," Mr Secord said.

"Under NSW law, it is illegal to accept donations from property developers."

Earlier in question time. Labor backbencher Sonia Hornery asked Premier Barry O'Farrell what action he would take against Mr Owen for accepting the donation.

Mr O'Farrell said he would ask the electoral commissioner to investigate the alleged irregularity.

However, he called into question large donations from overseas that he said had been received by the ALP.

The NSW Labor Party received $600,000 from non-citizens in just eight weeks, Mr O'Farrell told question time.

"If you can't vote in NSW, why would an overseas individual want to donate to a political party?" he said.

"Why would, in a period of just eight weeks, $600,000 have come from non-Australians to the Labor Party?

A spokesman for opposition leader John Robertson said he was unaware of the donation.

Comment was being sought from the NSW ALP.

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