Unable to prove that a south Waikato lifestyle property was purchased from proceeds of crime, police instead used the Sentencing Act to claim half Richard Alan Duthie’s equity in the 5.1 hectare property as an ‘instrument of crime.’ A house on the property was used as a clandestine lab to cook methamphetamine.
Duthie pleaded guilty in February 2022 to charges of possessing equipment for manufacture of meth, manufacturing meth and possession of meth for supply. Charges followed a search of his Lichfield property. Forfeiture of the property under the Criminal Proceeds (Recovery) Act would require proof the property was ‘tainted’ in that income from illegal sources was used to purchase Lichfield or to pay down a mortgage. Police inquiries identified that Duthie purchased Lichfield in 2019 for $300,000 with 100 per cent mortgage financing from Avanti Finance. About $297,000 was still owing.
Police laid claim to the equity in Lichfield; manufacturing methamphetamine on site meant the property was an ‘instrument of crime.’ On the basis of valuations before the court, Justice Campbell assessed Duthie’s current equity in the property as being some $650,000. One half of this value was forfeit to the government, he ruled. The property was not used solely for the purposes of crime. The fact Lichfield was also Duthie’s residence meant all equity in the property was not forfeit.
Duthie’s sentencing following his earlier guilty plea was deferred, allowing any forfeiture imposed under the Sentencing Act to be taken into account.
R. v. Duthie – High Court (2.11.22)
22.179