17 April 2023

Asset Forfeiture: Commissioner of Police v. McQuade

Seized by police as proceeds of crime, Alan McQuade protested that his Holden motor vehicles should not be sold ahead of next year’s scheduled forfeiture hearing.  They were appreciating in value as collectibles now that Australia no longer manufactures Holdens, he claimed.

McQuade was sentenced to five years three months imprisonment in March 2022 for methamphetamine offences.  On his arrest, police seized five vehicles alleging they were purchased with proceeds of crime, including a 2013 Holden HSV Clubsport, a 2016 Holden HSV GST and a 2003 Holden Monaro.

Police applied for an order the cars be sold ahead of a scheduled 2024 proceeds of crime court hearing with the sale proceeds meanwhile to be held in trust.  The High Court was told storage costs are running at $14.30 per day for each vehicle. In addition, market values based on Inland Revenue depreciation rates are falling by thirty per cent each year, police said.

McQuade challenged police assessments of future value. He said Holden vehicles were appreciating in value, as evidenced by asking prices for similar vehicles advertised on Trade Me.

Police had the vehicles inspected by an industry expert. He reported they were not all in the condition claimed: the Holden Clubsport had evidence of previous accident damage and was probably imported from Australia as an insurance write-off; the Holden GTS had double the odometer reading claimed.  Values for second-hand Holden vehicles viewed as collectibles had climbed sharply throughout 2020/21, the expert said, but had since shown a steady decline with vehicles marketed at premium prices remaining unsold for long periods.

Justice Woolford approved the vehicles’ early sale.

Commissioner of Police v. McQuade – High Court (17.04.23)

23.048