Two senior New South Wales Labor figures have faced court over allegations they participated in a scheme to breach the state's electoral funding laws during the 2015 NSW election campaign.

Former NSW Labor Legislative Council member Ernest Wong and former Chinese Friends of Labor chairman Jonathan Yee appeared before the Downing Centre Local Court in Sydney on Tuesday in relation to charges stemming from an investigation by the NSW Electoral Commission. Prosecutors allege the pair were involved in an arrangement designed to circumvent restrictions and disclosure requirements governing political donations.

According to the Electoral Commission, the alleged conduct occurred between October 2014 and August 2015 and related to donations connected with the Labor campaign for the state seat of Kogarah during the 2015 NSW election. The matter was initially identified during investigations associated with ICAC's Operation Aero, which examined illegal political donations.

Wong faces eight charges, including:

One count of allegedly giving false or misleading evidence at a public inquiry, Six counts of allegedly procuring false testimony before a commission inquiry, and One count relating to allegedly circumventing electoral donation requirements.

Yee faces 11 charges, including:

One count of allegedly circumventing donation laws, Two counts of allegedly providing false or misleading evidence at a public inquiry, and Eight counts of allegedly procuring false testimony before a commission inquiry. He is also accused of providing false evidence during an Independent Commission Against Corruption (ICAC) hearing in 2019.

During Tuesday's proceedings, the court considered Yee's bail conditions. Prosecutors argued there was a risk he could fail to appear in court because of planned overseas travel. The magistrate imposed strict bail conditions, requiring Yee to surrender his passport, report to police weekly, avoid contact with prosecution witnesses, and provide a $10,000 surety. The court was told the case against him was considered strong and that imprisonment could result if he were convicted.

The case has attracted political attention because the alleged scheme related to donations associated with the campaign of current NSW Premier Chris Minns, who was Labor's candidate for Kogarah in 2015. However, authorities have emphasised that Minns has not been accused of any wrongdoing, and the NSW Electoral Commission has stated that no other individuals are currently under investigation in connection with the matter. Donations linked to the allegations were later repaid.

Both Wong and Yee are scheduled to return to court on 11 August 2026, as legal proceedings continue.

As the matter remains before the courts, it is important to note that the allegations have not been proven, and both men are entitled to the presumption of innocence unless and until found guilty.