Ten days before heading off to jail for 15 months, construction worker Adam Cassell was allegedly paid for to set fire to Porn, a luxury yacht owned by Justin Kennedy Lewis.
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Mr Cassell, a demolition worker, and co-accused Gary David Sullivan, 24, have been charged with "dishonestly for gain" setting fire to the boat.
According to court documents, at the time of the arson, Mr Cassell, 38, was on bail for a variety of offences, including driving while disqualified. In addition to being charged with the arson, he was also charged with driving the stolen getaway car.
Porn, a Formula Fastech powerboat, was in dry dock at the Super Yacht Marina, in James Craig Road, Rozelle, when it was engulfed by flames early on October 12, 2009.
Mr Lewis, who has not been charged over the incident, received a $400,000 insurance payout for the damage to the yacht.
Three weeks after the fire destroyed his boat, Mr Lewis completed his $3.5 million purchase of a property neighbouring the Bylong Valley farm of corrupt former Labor powerbroker Eddie Obeid.
A subsequent inquiry by the Independent Commission Against Corruption revealed that the Obeid family stood to make up to $100 million from a crooked coal licence tender, presided over by then mining minister Ian Macdonald.
A licence, which neatly covered the Obeid groups' properties, was granted by Mr Macdonald's department. Mr Lewis admitted at the inquiry that he stood to make $14 million by selling his property for four times its value to the winning mining company. The inquiry also heard he had entered into an agreement to give the Obeids 30 per cent of any profits from the sale.
Mr Lewis, who runs courier company Yellow Express, gave evidence that he had lied to Fairfax journalist Anne Davies when he told her in 2010 there was no coal in the valley.
He said the lies to the journalist's questions were provided by "the Obeid boys".
Mr Lewis said that he had been encouraged to lie because the Obeids did not enjoy "a fantastic relationship with The Sydney Morning Herald".
"And, to be honest, I didn't lose much sleep about replying some untruths to Ms Davies. And, yep, there you go," he told the commission.
Mr Cassell was granted strict bail conditions because of the nature and seriousness of the offences. One of his bail conditions is that he does not "approach, harass, threaten or intimidate ... the co-accused Gary Sullivan and the victim Justin Lewis".
Documents tendered in court show that apart from the arson, Mr Sullivan is also facing a string of charges relating to stealing from cars after smashing car windows to gain entry.
The matter has been adjourned until April 15.
