29 June 2017

Asset Forfeiture: Commissioner of Police v. Mihaka

Two Tokoroa properties held by family trusts, a Nissan Liberty station wagon, cash and dealing profits of $168,000 were all forfeited to the Crown after a P bust.  A request that one property used as a home be exempted on grounds of hardship was refused.
Sharon Marie Mihaka fronted a family business dealing in methamphetamine out of her Tokoroa shop trading as Sharon Fine Leather Ltd.  Also convicted of supply were Lionel Geoffrey Mihaka and Leah Marie Green, also known as Ramanui.
In the High Court, Justice Whata ordered forfeit to the Crown properties in John Street, Tokoroa and part-share of 2.1 hectares of land on state highway one near Kinleith.  This land was held in the Mihakas’ names as trustees for a family trust.  The Mihakas and their children are named beneficiaries of the Trust.  The Criminal Proceeds (Recovery) Act allows courts to treat family trusts as the personal property of those controlling the trust.   
Mrs Mihaka asked the court to exempt the John Street residence from forfeiture on grounds of hardship.  She is 60 and unemployed.  Her shop assets were plundered while in jail after she was sentenced to four and half year’s imprisonment.  She needs John Street for accommodation since her release.  The property is in a bad state of repair and needs considerable work.  Police acknowledged the John Street purchase was not funded from the proceeds of methamphetamine dealing for which she was convicted.       
Justice Whata refused to exempt John Street from forfeiture.  Relief requires evidence of “undue hardship”.  The clear policy of the Act is to discourage repeat offending, he said.  Mrs Mihaka has a methamphetamine possession conviction which preceded her conviction for supply.  Her difficult financial circumstances are not sufficiently exceptional to justify relief, Justice Whata ruled.
Commissioner of Police v. Mihaka – High Court (29.06.17)

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