SYDNEY, Aug 7 AAP - In 2007 developer Ron Medich liked and trusted Sydney businessman Michael McGurk, transferring millions of dollars into his company's accounts.
But within three years Mr McGurk had organised an associate to stage a car accident in an attempt to catch Medich drink driving and Medich had allegedly forked out upwards of $300,000 for a contract killing on Mr McGurk.
Medich has been charged with soliciting the murder and murdering Mr McGurk, who was shot at close range outside his Cremorne home in northern Sydney on September 3, 2009.
To help carry out the hit, the crown alleges Medich enlisted the help of one-time featherweight boxing champion Lucky Gattellari.
Gattellari then allegedly recruited Senad Kaminic, Haissam Safetli and Christopher Estephan to help.
It was Safetli and Estephan, the crown says, who then went to his home and fired the fatal shot.
When his murder failed to resolve Medich's financial and legal disputes, he then allegedly funded someone to threaten the businessman's widow, Kimberley McGurk.
On the second day of the committal hearing involving Medich and his co-accused Christopher Estephan, Central Local Court heard that in 2007 and early 2008 the developer and Mr McGurk's business relationship was running smoothly.
The 65-year-old was transferring upwards of $8 million into Mr McGurk's company accounts for various properties and trusted and "thought highly" of the businessman.
But by 2009 suspicions were festering and the pair became embroiled in legal battles over properties amounting to about $7 million.
In July 2009 Mr McGurk paid an associate $5000 to plough into Medich's car in Sydney's CBD in the hope the property tycoon would be arrested for drink driving.
The accumulative effect of these disputes and the damage to his reputation led to Medich having a "strong desire" to have Mr McGurk killed, Crown Prosecutor Gina O'Rourke said.
The court heard that when Gattellari allegedly told Medich the hit would cost between $300,000 to $500,000, the developer said he would organise cash through his friend and associate - racing identity Les Samba.
Mr Samba was gunned down on a Melbourne footpath in February 2011.
Matthew Crockett - a former standover man of Gattellari - told the hearing that he "vaguely remembered" a conversation in which it was said Mr Samba owed Medich money.
"Ron said he was sick of people in need of cash," Mr Crockett told the court.
But Medich's barrister Winston Terracini SC put to Mr Crockett that his client had also said he was sick of Gattellari asking for cash.
The court heard Gattellari employed Mr Crockett to "stand over" people who owed him money and make "veiled threats".
In 2010 Mr Crockett said Gattellari had also paid him to carry out surveillance on Mr Medich's wife Odetta - who after Mr McGurk's death had begun putting enormous pressure on her husband to distance himself from the boxer and cease funding his companies.
Of the five men charged in relation to the killing, only Estephan and Medich are facing committal to determine whether they should stand trial.
Gattellari and Kaminic were sentenced earlier this year for their part in the murder and received heavy discounts for co-operating with police and giving evidence against Medich.
Safetli is due to be sentenced later this week.
The hearing before Magistrate Jan Stevenson continues.
