How Kerry Packer lost $20,000 but came out winning

The Age

Tuesday October 6, 2009

PATRICK BARTLEY

Sydney's underworld learns the hard way that you can't beat the top end. IN THE 1960s Perc Galea was one of the biggest and most flamboyant punters Sydney had seen since the World War II.But, apart from his daring antics in the betting ring, much of Sydney's underworld relied on Galea as the mediator or go-between for politicians and police.Drugs were not the huge problem they are now, but illegal casinos and SP bookmakers flourished in these times.Galea was friends with both ends of Sydney �� the tough and the important �� an asset well-known by the criminal element of Sydney.On one occasion he was summoned to a Sydney hotel for a meeting with three of the ringleaders of gambling and SP bookmaking in the state. They needed Galea to help them out, explaining that a brash young punter had run up debts of $10,000 at one of the underground casinos and was refusing to pay.Galea was used to these approaches as he regularly worked out "arrangements" for this group and politicians and selected police but this request required a more delicate approach as the young punter was Kerry Packer."Fellas, this is getting out of your league," Galea told them. "You're dealing with the top end of town here, not just a runaway young bloke whose betting has got out of hand. Think about what you want to do."But the group impressed upon Galea that no one could avoid paying a gambling debt and if they looked the other way it was a sure sign of weakness.Dutifully, Galea made an appointment with Packer's father �� the tough uncompromising Sir Frank Packer �� at his spacious office at the Daily Telegraph newspaper.Once inside the door, Galea was greeted by the media magnate with "What the f--- do you want, I'm a f---ing busy man."Galea settled himself and said: "Sir Frank, I'm here on a very delicate matter. Your son has run up a betting debt to some extremely dangerous men around town."I wouldn't be here unless it was important, but I've got to stress that they are hard men and very dangerous operators."Packer paused for a moment and asked how much his son owed.Told the debt was $10,000, Packer reached for his chequebook and asked to whom should he make out the cheque. Galea told him it needed to be a cash cheque as there were at least two casinos to be paid.On passing over the cheque, Packer leant over and said to Galea: "You tell these so-called dangerous men that I'm just as f---ing dangerous and if they let my son on for one more cracker, I won't be paying it. In fact, I'll be looking for them."The twist to the story was that the following week Packer jnr ran up another $10,000 debt but, on Galea's advice, the casino owners conceded that the top end of town would always win and looked the other way.