Misuse of Drugs Act charges against Wayne Brendon Franklin were dismissed but he agreed to hand over $404,700 as proceeds of crime. In addition, agreement terms left open the possibility of a tax investigation into suspected tax evasion.
After a May 2020 police raid at a Kumara property on the West Coast, Mr Franklin was charged with drug offences. Methamphetamine together with $12,050 was seized at the property. After a court ruling that evidence was obtained unlawfully, police offered no evidence at the subsequent trial. Charges were dismissed.
Some eighteen months later, the High Court approved a negotiated settlement under the Criminal Proceeds (Recovery) Act. This followed a court ruling that evidence inadmissible in the criminal case could be used in proceeds of crime recoveries. Mr Franklin agreed to forfeit the $12,050 cash seized and further agreed to pay $392,700 as profits from criminal activity.
Mr Franklin owns property on Portage Road in Auckland suburb New Lynn. There is a proceeds of crime restraining order on the property, blocking any sale. Mr Franklin was given three months to finance the $392,700 profit forfeiture order by borrowing against Portage Road, failing that the property is to be sold.
Terms of the agreed settlement specifically stated it is not binding on Inland Revenue.
Commissioner of Police v. Franklin – High Court (27.06.23)
23.100