An ex-Wollongong policeman turned racehorse trainer has confessed to taking part in the supply of a black market gun to a friend at his Kembla Grange home.
Shane Allan Kember, a game shooting enthusiast whose Facebook page features photos of him posing with dead animals, was one of seven men arrested by western NSW detectives investigating the supply of firearms in the Gunnedah and Liverpool Plains areas.
Kember pleaded guilty to two charges - knowingly taking part in the supply or a pistol and possession of a prohibited weapon - in a plea deal with prosecutors ahead of his scheduled trial this month.
However, Kember challenged the police version of events during a disputed facts hearing in Wollongong District Court on Monday.
The court heard Kember's friend, Darryl Austin, had asked him about sourcing a gun to pursue his interest in sport shooting while travelling around Australia.
At the time, Mr Austin gave Kember parts of an antique .38 calibre pistol he wanted "blued" - a process of cleaning and protecting a gun using chemicals.
The Crown alleges Mr Austin also wanted the gun returned to working order, which Mr Austin denied on the stand. Meanwhile, Kember's associate, Warren Barry Ayre, gave the antique gun to Stephen Lawrence for bluing, but Lawrence was unable to do it.
Giving evidence in court on Monday, Lawrence said he met a man near, possibly named "Terry", who said he could supply him a new .22 calibre Ruger pistol in exchange for the .38 calibre parts.
Kember organised for Lawrence to attend his Farm Road property on August 31, 2016 to supply Austin with the Ruger.
Lawrence claims Kember was standing with him and Austin when the Ruger was brought out for inspection and that Kember even fired it a couple of times to test it out. He said Austin took the gun and appeared to put it in his car before leaving the property.
However, Kember claims he simply introduced Lawrence to Austin then went inside for dinner while the two men carried out their business. Austin backed Kember's version of events, saying Kember was not present when he and Lawrence were inspecting the Ruger. He also denied it was ever fired on the property.
Austin claimed he had only ever wanted to buy a registered firearm and thought Lawrence was a registered firearms dealer. When told the gun had no paperwork, Austin said he refused to take it and left empty handed.
However, Austin also confirmed in court that he did not ask Kember or Lawrence the whereabouts of his antique pistol or seek its return, despite claiming it was a family heirloom.
Judge Andrew Haesler will deliver judgement and sentence Kember in August.