A former Victorian Liberal MP couriered bags containing "many thousands of dollars of cash" from a property developer to the City of Casey's former mayor Sam Aziz, a corruption inquiry has heard.

Key points: Developer John Woodman told the hearing he paid bags of cash to Cr Aziz as interest payments, not for political purposes

Developer John Woodman told the hearing he paid bags of cash to Cr Aziz as interest payments, not for political purposes Former Victorian Liberal MP Lorraine Wreford was allegedly used as a courier to deliver money from Mr Woodman to Cr Aziz

Former Victorian Liberal MP Lorraine Wreford was allegedly used as a courier to deliver money from Mr Woodman to Cr Aziz Cr Aziz wrote on Facebook that he has not "fled" Australia and he was not required to attend the anti-corruption hearing

The state's anti-corruption watchdog is investigating allegations that councillors took money and gifts from major property developer John Woodman and his associated companies, in exchange for favourable planning decisions.

The inquiry heard former Mordialloc MP Lorraine Wreford was hired as a political lobbyist by Mr Woodman and was used as a courier to deliver more than $100,000 to City of Casey councillor and former mayor Sam Aziz.

Under questioning from counsel assisting the Independent Broad-based Anti-corruption Commission (IBAC), Michael Tovey QC, Mr Woodman admitted that couriering "bags of cash, many thousands of dollars of cash" to Cr Aziz was "not a normal role a lobbyist would play".

Ms Wreford is accused of carrying bags of cash from a property developer to Cr Aziz. ( Facebook: Lorraine Wreford )

Payments 'not for political purpose'

Mr Woodman told the inquiry Cr Aziz was investing money in his company and Ms Wreford would deliver interest payments to him each month.

Mr Woodman denied the payments were for political purposes and said he never asked why Cr Aziz wanted the payments in cash rather than in deposits to his bank account.

It comes after it was revealed Mr Woodman's companies paid $1.2 million directly into the bank accounts of councillors Sam Aziz and Geoff Ablett.

Cr Aziz, who the inquiry yesterday heard had sold his house and flown to Egypt, took to Facebook in a post on Monday night where he suggested he would return to Australia to defend himself against the allegations.

In the post, Cr Aziz took aim at suggestions he had "fled" the country to avoid scrutiny.

"The reality, as opposed to the rubbish that has been published, is that I did travel overseas for a short period, as I often do, to pursue business and academic opportunities," he said.

"I intend to vigorously defend all and any allegations made against me only through the legal process, not through media commentary."

Property developer John Woodman said he did not pay Sam Aziz for political purposes. ( Watsons )

Donations made to state politicians

The inquiry heard Mr Woodman donated $20,800 dollars to Racing Minister Martin Pakula's political campaign during last year's election, after he claimed he was approached to do so.

He also donated $15,000 dollars to former Cranbourne MP Jude Perera.

"I was approached by the individuals to make the contribution," Mr Woodman told the inquiry.

Mr Pakula denied claims he had approached Mr Woodman to ask for donations.

"[My relationship with Mr Woodman] is very very marginal," he said.

"I think he and his colleagues may have attended three fundraisers of mine over that period.

"I never approached him for a donation."

Martin Pakula said he did not personally approach Mr Woodman for donations. ( AAP: Julian Smith )

Mr Pakula said people working for him may have had contact with Mr Woodman.

"What may have occurred is that people organising a fundraiser for me may have invited him to attend a fundraiser," he said.

"I never approached him for a fundraiser, I can say that categorically."

Long history of political donations

Mr Woodman has supported state and federal government campaigns since the early 1990s.

During the 2018 Victorian election, Mr Woodman ramped up his donations from $94,500 to $157,000 to the Labor Party after it became the favourite to win the election.

His donations to the Liberal Party dropped last year from $80,000 to $63,000.

"Did you want to back the winning horse?" Mr Tovey asked.

"No, I like to support good governance," Mr Woodman replied.

The inquiry also heard Mr Woodman "got assistance" from people in the major political parties to work out how to arrange donations so he could get around the legal restrictions.

Currently in Victoria, political donations are capped at $4,000 over four years.

Mr Woodman told the inquiry he contributed $80,000 to Liberal candidates Amanda Stapleton and Cr Geoff Ablett (who ran for the seat of Cranbourne in 2014) during the 2014 election.

"I wrote to the Liberal Party president to detail my wishes that $40,000 would go to Stapleton and $40,000 to Ablett," Mr Woodman said.

City of Casey councillors Sam Aziz (left) and Geoff Ablett received more than $1 million in developer cash, the inquiry heard on Monday. ( City of Casey )

Mr Woodman said the candidates approached him either by phone or in person to request the donations.

The inquiry heard he did not expect the "slightest" bit of favouritism in return for his contributions.

"At the time I made the contributions I met with the president of the Liberal Party and my understanding was that the candidates could no longer participate in decision making related to my company," Mr Woodman said.

The inquiry also heard Mr Woodman would funnel monthly payments to Cr Aziz through bloodstock manager business Spicer Thoroughbreds.

"My understanding was [Cr Aziz] was working for Spicer Racing, to get Chinese interest in racehorses," Mr Woodman said.

Mr Tovey told the inquiry the director of Spicer Racing was unaware of the payments and they were totally unauthorised.

The inquiry was told Mr Woodman hosted a fundraiser at Crown Casino for City of Casey councillor Gary Rowe before the last council elections in 2014.

It raised more than $10,000 for his council campaign.

Mr Woodman said he expected Mr Rowe would declare a conflict of interest.