Nick Efstathiadis

Updated 31 minutes ago

Video: Reporter Brigid Glanville speaks to Eddie Obeid (ABC News)

Related Story: Obeid, Macdonald expelled from Labor

Controversial former Labor powerbroker Eddie Obeid has launched an extraordinary spray against NSW Opposition Leader John Robertson after being ousted from the party.

It has now been confirmed that Mr Obeid and his former colleague Ian MacDonald have been formally expelled from the Australian Labor Party for bringing the party into disrepute over allegations raised at the Independent Commission Against Corruption (ICAC).

Mr Obeid is accused of engaging in a criminal conspiracy with Mr Macdonald in relation to Mr Macdonald's decision to grant a coal licence over land owned by Mr Obeid's family while they were ministers in the NSW Government.

In an exclusive interview with the ABC, Mr Obeid insisted he had done nothing wrong and he labelled the ICAC hearings a "political witch-hunt".

"I refute these allegations, and I've consistently said that I and my family have nothing to answer and we will be vindicated," he said.

"If John Robertson for a few political points is jumping ahead of the process of a party that for over 100 years has stood to defend the individual rights and to protect the process of law, he has gone about trying to get a few political points at my expense."

After Mr Robertson asked the party to expel Mr Obeid and Mr Macdonald in March, Mr Obeid threatened legal action if any steps were taken to strip him of membership before ICAC delivers its findings.

Eddie Obeid Photo: Eddie Obeid has been accused of engaging in a criminal conspiracy with Ian Macdonald to defraud NSW. (AAP: Dean Lewins)

Mr Obeid maintains that if the allegations before ICAC end up in the NSW Supreme Court his family will be vindicated.

He says he will fight any charges that might be laid and he expects the Labor party will be apologising to him one day.

"If I or anyone else in a court of law is convicted then fine, go ahead, but at the moment [Mr Robertson] is just covering up for his ineptitude," Mr Obeid said.

"And as far as I'm concerned the person that brought the Labor movement into disrepute is him taking on the Iemma Government - an elected government - simply because they wanted to have the privatisation of electricity.

"And he ought to remind himself that was the single biggest issue that's undone the Labor Party before the last elections."

Mr Robertson says he is not interested in anything Mr Obeid has to say.

"The processes have been followed and if these individuals think they've got rights to exercise they are more than free to do it, but I will not resile from the decision that I took to have these two expelled from the Labor Party," he said.

It is alleged that in 2008 Mr Macdonald corruptly granted the Mount Penny mining licence in the NSW Hunter Valley and that both men stood to make a lot of money from the deals - Mr Obeid as much as $100 million.

Mr Macdonald denies rigging the Mount Penny tender process and Mr Obeid denies having inside knowledge of it.

ICAC commissioner David Ipp is due to hand down his findings on July 31.

Eddie Obeid attacks Labor leader after being ousted from party - ABC News (Australian Broadcasting Corporation)

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