Pubdate: Sun, 04 Dec 2005
Source: Sydney Morning Herald (Australia)
Copyright: 2005 The Sydney Morning Herald
Contact:  http://www.smh.com.au/
Details: http://www.mapinc.org/media/441
Author: Eamonn Duff and John Kidman

POLICE TARGET NEW MP'S 'DRUG HOUSE'

Sydney's newest MP Alex McTaggart owns and operates a Darlinghurst 
boarding house which is being investigated by police targeting the 
supply of illicit drugs.

Mr McTaggart secured a victory last Saturday, wrestling the 
blue-ribbon seat of Pittwater from the Liberals with a record 26 per 
cent swing.

But as he was preparing for life in full-time politics yesterday, his 
business premises were being watched by uniformed and undercover 
police as part of an ongoing crackdown on drug dealing in Sydney's 
Kings Cross red-light district, The Sun-Herald can reveal.

Mr McTaggart and his wife Denise Ann are looking to sell the Palmer 
Guest House in Palmer Street which they have owned for seven years.

During that time, the 30-room property has proved a goldmine for the 
couple, attracting annual revenue of about $200,000. A Sun-Herald 
investigation has uncovered evidence that shows drug peddlers are 
also profiting from the same address - often while one of the 
McTaggarts is sitting in the office downstairs.

Police intelligence files confirm that the property sits on a "top 
10" list of Kings Cross locations being targeted for drugs and street crime.

Senior police sources have also described the boarding house as being 
of "significant interest".

"It's a focus of the [Kings Cross] intelligence unit and both 
uniformed and plain-clothed officers are being sent out on a daily 
basis to monitor the place," said one detective.

"When you consider how big a shithole the Cross is, looking at the 
place as a priority shows that it's obviously a problem."

Neighbours confirmed that during the past 18 months they had written 
to police, Sydney Lord Mayor Clover Moore and Mr McTaggart to 
complain about problems with the premises.

One of Mr McTaggart's tenants arranged to meet an undercover 
Sun-Herald journalist on Friday to sell him marijuana.

"Meet me down the laneway that runs behind the Oxford Hotel in Oxford 
Street . . . I'll be there in 10 minutes," he said, adding: "I can do 
you a $50 bag, no problem."

While there is no suggestion the McTaggarts themselves are involved 
in the drug dealing, police sources said that if the address was 
proven to be a drug house and Mr McTaggart was aware of his tenant's 
activities without taking action, he could be prosecuted.

"He'd be declared as being knowingly concerned with the commission of 
an indictable offence, namely supplying a prohibited drug, and held 
liable," a source said.

Mr McTaggart said "nothing surprises me" when confronted with the 
allegations relating to his boarding house yesterday. Speaking at his 
first official public engagement as an MP, he said: "I was unaware 
that police had an ongoing investigation but look, I accept we've got 
problems down there all the time. It's the nature of the business - 
and the tenants. It's low-cost accommodation. A lot of these people 
are in some form of rehab."

He faces a testing time tomorrow night when he chairs the next 
Pittwater Council meeting.

Mr McTaggart confirmed he knew the tenant who had earlier negotiated 
a drug deal with the The Sun-Herald.

"We've had trouble with him over a period of time. But now I know 
about it, he'll be served his notice immediately."

Last year Mr McTaggart, 56, was elected independent Mayor of 
Pittwater. But on the opposite side of Sydney, his lodgers know him 
simply as "the landlord".

Rooms in the no-frills boarding house are rented for between $125 and 
$140 a week. Former homeless people occupy the building, as do 
convicted criminals, straight out of jail, who are forwarded on to 
the McTaggarts by community welfare groups.

The building appears tired and rundown from the front. Inside, 
lodgers have erected makeshift clothes lines across windows.

One room remained vacant last week, with Mrs McTaggart fielding 
inquiries from prospective tenants.

A lodger, who spoke to The Sun-Herald said: "Alex pops by a couple of 
times each week. He's an all right sort of bloke. His wife takes care 
of a lot of the daily stuff.

Mr McTaggart has been keen to sell the boarding house since entering 
politics. But he failed to secure a $2.5 million asking price when it 
came up for auction in June.

After speaking to her husband, Mrs McTaggart contacted The Sun-Herald 
and added: "We have a zero tolerance on drugs and alcohol in the 
house. But these people are existing day to day without a penny and 
some will do anything to put food on the table. We bring these boys 
in . . . I take them all at face value. I give them a good talking to 
and read them the riot act."

She added: "We don't kick them out straight away if they go off the 
rails. We try to work with them and sort them out."
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MAP posted-by: Beth Wehrman