Frank Vellar's plans to build the mammoth Quattro development were dealt a further blow after the Land and Environment Court upheld the proposal's suspension.
Wollongong City Council won a four-week extension to its suspension of the Quattro consent in the Land and Environment Court yesterday.
The decision means no work can begin on the Quattro site, which was at the centre of an Independent Commission Against Corruption investigation.
ICAC found senior council planner Beth Morgan engineered the approval of the $100 million residential and commercial block while carrying out an adulterous affair with the applicant - Mr Vellar.
The council is attempting to overturn the consent for the proposal. To succeed it must prove that the consent was "tainted by corruption".
The council's case was delivered a boost last month when ICAC released an interim report which found Mr Vellar and Ms Morgan engaged in "serious corrupt conduct" while the Quattro proposal was being assessed.
The commission found their actions "could constitute ... criminal offences of aiding and abetting misconduct in public office, conspiring to commit the offence of misconduct in public office, and corruptly giving benefits". If charged and convicted, the pair could face multiple jail terms of more than five years.
The commission has not recommended that charges be laid until it delivers its third and final report.
If the council is not successful in court, Planning Minister Frank Sartor has promised to use his power to suspend the Quattro development. The case resumes on July 11.
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