NSW government signed lease linked to Eddie Obeid at same time as corruption inquiry October 27, 2013 - 9:27PM The O'Farrell Government signed a new lease for a cafe linked to disgraced NSW Labor powerbroker Eddie Obeid, on the same day a major corruption inquiry into his affairs opened last year, the ABC has revealed. It reported on Sunday that the lease was reissued in November to Circular Quay Restaurants Pty Ltd, a company which the Sydney Morning Herald originally revealed had acted as a front for the Obeid family. On paper, the company is owned by Mr Obeid's brother-in-law, John Abood, but revenue from the company's three leases was flowing into Obeid family trusts. Sydney Harbour Foreshore Authority spokeswoman Michelle Weiss defended the lease renewal on the basis that the property was to be demolished next year. "The authority considered it highly unlikely that it would be able to secure a new tenant willing to pay a market rental for a lease for two years with no prospect of extension," the ABC reported her saying. Had the authority abruptly abandoned its ongoing negotiations with the tenant solely as a reaction to the fact that the Herald had published an article, the authority would not only have faced a substantial loss of rent revenue, but also potentially exposed itself to legal challenge by the tenant.