The former chief executive of BioSA failed to declare a financial interest in a company he put forward for $5 million in government funding, a court has heard.
Dr Jurgen Michaelis faced the South Australian District Court for trial on Monday after earlier pleading not guilty to abuse of public office over the alleged 2012 incident.
In opening the trial, prosecutor Peter Longson said Michaelis had in 2011 invested in Queensland-based nanotechnology company Nano-Nouvelle.
In 2011 and 2012, Nano-Nouvelle applied to BioSA for grants and both were approved by the board, but Michaelis abstained from the votes because of his conflict of interest.
But, in June of 2012, Michaelis is alleged to have drafted a minute and met with Innovation Minister Tom Kenyon to request $12 million in funding.
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The minute detailed $5 million for the purchase of a new BioSA building, $2 million for its refurbishment and $5 million for the relocation of Nano-Nouvelle to South Australia to occupy part of the building.
"What was not disclosed to the minister, or the board of BioSA, or the conflict of interest register was that Michaelis held an equitable interest in Nano-Nouvelle," Mr Longson said.
"That's really what this case is about - the provision of (the proposal) to the minister on June 13 to secure the funding for the relocation of Nano-Nouvelle."
The trial continues before Judge Liesl Chapman.
