With her spouse jailed following drug convictions and their jointly owned Tauranga home confiscated as ‘proceeds of crime,’ Lisa McEnirney will receive on hardship grounds only 8.33 per cent of the final sale price, a proportion equal to her original cash contribution to the family’s 2016 purchase. The balance of the net equity realised on sale goes to government as a penalty under the Criminal Proceeds (Recovery) Act; their home is ‘tainted property,’ after proceeds of drug sales were used to pay down their mortgage.
Thomas McEnirney pleaded guilty to charges of dealing in MDMA (better known as ecstasy) and prescription drugs (primarily anabolic steroids); sentenced in 2021 to two years and three months imprisonment.
Their Tauranga family home in Greerton Road was forfeited to government. It will be sold, unless the McEnirneys can raise funds to buy it back.
Spouse Lisa applied to the High Court, asking her half-share of the equity be released. She claimed to be unaware of her husband’s illegal dealing, beyond what she described as knowledge of him occasionally providing steroids to friends at a gym.
Justice Isac ruled her protestations of ignorance lacked credibility. Illegal drugs were stored in a spare room at their home. There was regular courier traffic to and from the house she must have been aware of. These deliveries were part of dealings transacted over the dark web.
The couple took several overseas holidays at a time when Mr McEnirney had no regular income. Police investigations identified over $800,000 from unknown sources was paid into his Kiwibank account. Over half of this money was transferred into their joint ASB account.
Ms McEnirney, at the very least, must have suspected her spouse was profiting from significant criminal activity and turned a blind eye to it, Justice Isac said. She had benefitted directly, through a reduction in their joint mortgage debt.
Justice Isac ruled her share of the family home was also forfeit. An allowance for the inflation-proofed value of her original cash contribution when purchasing was granted on hardship grounds, potentially providing some assistance towards new accommodation for the family. The McEnirneys have two young children.
Commissioner of Police v. McEnirney – High Court (27.09.23)
23.168