The duo of a former Land and Property Management Authority CEO Warwick Watkins and his chief of staff, Mark Matchett, both accused in a high-level inquiry by an Independent Commission Against Corruption (ICAC), were seen mingling in a secretive meeting at a roadside, near the disused toll gates of the Old Pacific Highway on June 4.

Defending his stance, Mr. Matchett shifted the blame to Mr. Watkins for calling to meet at a Berowra rest area and further told ICAC Commissioner David Ipp, "He (Mr. Watkins) advised me at the end of the meeting that for him to meet with anyone and discuss the outcome of this interview (with ICAC) on the previous Friday, that he could be in serious trouble”.

The ICAC has accused Mr. Watkins of committing to the sale without full authorisation from the government. The questioned backdated letter allegedly signed by then lands minister Tony Kelly is a concrete proof against Mr. Watkins, thereby alleging that he was not authorized to purchase Currawong before contracts were exchanged on March 15.

With this report hitting the political community, Mr. Kelly tabled his resignation from the state parliament. Meanwhile, Mr. Matchett was due to be quizzed by the commission on June 6 while Mr. Kelly and Mr. Watkins might be appearing before the inquiry gives its final decision.