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Claims against developers 'defamatory'

Claims property developers have swayed Gold Coast councilors into giving them preferential treatment are defamatory and politically motivated, the city's mayor says.

Ron Clarke vigorously defended his crisis-plagued council against "spurious" allegations councilors, whose election campaigns were bankrolled by developers, were voting on development applications in favour of their backers.

Queensland's Crime and Misconduct Commission (CMC) has been handed a 32-page document which alleges the developers have been given concessions such as special height and density considerations and rates discounts.

Cr Clarke said he believed the developers, which he described as the "backbone" of the tourist spot, could sue over the allegations.

"These developers are respected members of the community and to be making those charges against these sorts of developers - they've been the backbone of the community most of them for some particular time - is in my opinion libelous," Cr Clarke told ABC radio.

"Some of these charges in the end will go further because they're libelous charges and they're not confirmed, they're completely spurious and I think they're done for political purposes."

The dossier, compiled by Gold Coast councilor Peter Young, alleges a team of pro-development councilors had been funded by the developers to wrest control of the council.

Local Government Minister Desley Boyle referred the allegations to the CMC more than a month ago but has asked it to consider holding a public inquiry into the matter.

She also threatened to sack the entire council if the CMC returned a finding of corruption or misconduct against even just one councilor.

The Tweed Shire Council was sacked by the NSW government in May in similar circumstances after an inquiry found property developers had funded many councilors' election campaigns and used them as "puppets".

Cr Clarke said he welcomed the CMC investigation as a way to clear the air and "stop this continual harping and repeating of the same charges time and time again".

He said there was no evidence of a conspiratorial pro-development bloc within the council.

"I defy anybody to come in to council at any one stage and say `I can be certain about who's going to vote for what'," he said.

"They make up their own mind, they vote in council, and if they're like-minded they vote in a like-minded way."