A ''Catholic mafia'' within the ranks of Newcastle police colluded with church leaders to cover up sex abuse in the Maitland-Newcastle diocese, an inquiry into the abuse has been told.

Detective Chief Inspector Peter Fox told the inquiry on Monday that while on leave his office had been raided, he and other police had been pulled off investigations into the alleged cover-up of child sex abuse and a colleague told him about a ''Catholic mafia'' within the ranks of Newcastle police.

Peter Fox: ''I just didn't trust other police.'' Credit:Dean Osland

''I just didn't trust other police,'' he said.

The inquiry, headed by Commissioner Margaret Cunneen, was told police chose not to charge former Catholic Bishop Michael Malone with hindering police investigations into paedophile priests.