The scandal-plagued Auburn Council is set to follow in the footsteps of its controversial deputy mayor Salim Mehajer and be suspended around lunchtime, following concerns about the conduct of its councillors.
It is understood Local Government Minister, Paul Toole, will appoint an administrator on Wednesday - two weeks after asking councillors to justify why the council should not be suspended.
The move follows a briefing note circulated to councillors before their final meeting in January that showed Fairfax Media reports into the sale of a council car park to Cr Mehajer appears to have prompted the minister to act.
The 29-year-old deputy mayor and property developer secured the property in December for an apparent $5 million discount.
"There is particular concern about council's actions in renegotiating the terms of the sale of council land at 13 John Street," read the note, compiled by council staff based on communications with the office of the minister.
"Further adverse media coverage and thereby further reducing the public confidence in the council."
Mr Toole has also ordered that the council's planning decisions be scrutinised by Sydney silk Richard Beasley, SC. According to the Local Government Act, a public inquiry is required before a council can be sacked.
The minister had earlier signalled that he wanted council suspended while the independent inquiry was being conducted due to concerns that councillors' "access to council staff and records" may "frustrate" the inquiry.
The council's suspension comes less than two weeks after Cr Mehajer, was himself suspended from office for four months.
The NSW Civil and Administrative Tribunal found Cr Mehajer breached pecuniary interest laws by failing to disclose his financial interest in a property when he voted on changes adding $1 million to its value.
He appealed against the decision and the Supreme Court heard the case on Friday. Justice Peter Garling reserved his decision.
Cr Mehajer's wife Aysha last week appealed to Mr Toole not to follow through with his threat against the council, arguing one of the family's companies would suffer "significant financial loss" over the car park deal.
