17 May 2019

Asset Forfeiture: Commissioner of Police v. McDonald

Two Invercargill properties were forfeited after the High Court ruled Kerryn Robert McDonald benefitted by $216,200 from illegal activities: methamphetamine possession and pentedrone importation.
Criminal Proceeds (Recovery) Act claims were made after McDonald was sentenced to two years four months imprisonment in 2015 for importing pentedrone from China and then sentenced in 2017 to four years imprisonment on charges of possessing methamphetamine for supply.  McDonald said he was a ‘bit player’ in drug dealing, making no profits.
The Act allows government to seize assets to the full street value of illegal drugs passing through offenders’ hands, unless an offender can prove the drugs in fact were of lesser value.
In respect of pentedrone importations, McDonald said he did no more than email contacts in China on behalf of others, setting up deliveries.  Police telephone intercepts identified McDonald as an importer, dealing in pentedrone. It is sold as a substitute for ecstasy.  The value of pentedrone passing through his hands was assessed at $115,500.  No asset forfeiture claim could be made in respect of drugs intercepted by customs at the border, Justice Mander ruled.  They never came into McDonald’s possession.
In respect of methamphetamine, McDonald said he was no more than a ‘caretaker’ holding drugs on behalf of others.  At the time of the drug bust, McDonald was seen to throw a 112 gram bag of methamphetamine over a boundary fence.  Evidence of dealing was found at the property: electronic scales for weighing drugs and packaging for retail sale.  During the police search, an associate of McDonald arrived at the property and was found to be carrying methamphetamine in similar packaging.  The value of methamphetamine held by McDonald was assessed at $100,700.
Ordered forfeit to the crown: net proceeds from sale of his property at Dundee Street, Invercargill ($55,400); a property at Largs Street, Wallacetown formerly owned by McDonald and transferred to his ex-partner on his arrest (valued at some $70,000) and a 2010 Harley Davidson motorcycle. Police have been unable to trace the motorcycle.  McDonald said it was broken up for parts, and sold.
Commissioner of Police v. McDonald – High Court (17.05.19)
19.088