Man charged over Sydney double murder

A NSW man will face court over the fatal shooting of millionaire Dr Michael Chye and the stabbing death of his sister Rita Caleo in Sydney about 25 years ago.

Police have charged a 52-year-old man with two counts of murder after he was arrested at a home in Ramsgate in Sydney's south on Wednesday morning.

They have alleged the man knew the two victims and organised their murders.

Dr Chye, 36, was shot three times as he drove in his Mercedes-Benz into the garage of his Woollahra home in October 1989.

Less than a year later, his sister, Mrs Caleo, was stabbed to death in her luxury Double Bay flat.

The 39-year-old mother was stabbed in the stomach in the ensuite of her bedroom while her two daughters, aged six months and four, slept in the next bedroom.

The August 1990 murder of Mrs Caleo came just two days after a $50,000 reward was offered for information about the unsolved murder of her millionaire brother.

Last year Mrs Caleo's brother-in-law Gerard Phillip Caleo, 42, was arrested in relation to her murder and remains in custody.

Caleo, a Thai resident, was arrested at Sydney Airport as he landed in Australia on August 15.

The 52-year-old man will face Sutherland Local Court on Wednesday, also charged with two counts of solicit to murder.

Police expect to make further arrests.