Mr McCloy, the independent mayor of Newcastle, and local businessman Hilton Grugeon are also being investigated over whether they "improperly sought to influence certain members of Parliament by making donations during the 2011 state election campaign", the ICAC said.

The commission is examining allegations that former Liberal state energy minister Chris Hartcher and Mr Gallacher "used or attempted to use their power and influence improperly to confer, or attempt to confer, benefits upon donors to the Liberal Party" in the state election campaign.

Mr Gallacher resigned as police minister in May after the ICAC heard allegations that he hatched a "corrupt scheme" with Buildev to receive illegal donations. He has yet to give evidence before the commission.