Facing a proceeds of crime claim following allegations of tax evasion, Christchurch-based Kathy Emily Cribbett took a pragmatic approach; agreeing to pay $49,600 in full settlement, conditional on a successful relationship property claim against former partner Darrin Stephen Baylis.
Mr Baylis has a history of court appearances on meth charges.
The High Court was told Inland Revenue alleges Ms Cribbett as director failed to ensure her company Baylis Motor Company Christchurch Ltd paid GST and PAYE due.
Police weighed in with a Criminal Proceeds (Recovery) Act claim alleging she unlawfully benefitted from criminal activity, aiding and abetting tax evasion by Baylis Motor Company.
Evidence was given that Ms Cribbett extracted $49,600 from the company at a time when tax debts were left unpaid.
In a proceeds of crime settlement negotiated with police, she agreed to surrender this $49,600 benefit. No payment is due should she fail to recover anything in her ongoing relationship property claim against Mr Baylis.
Several properties in Christchurch controlled by Mr Baylis are currently facing forfeiture in a separate proceeds of crime application brought by police against him.
Justice Churchman ordered the first $49,600 of any relationship property payout received by Ms Cribbett be forfeit.
As part of this court-approved profit forfeiture order, Ms Cribbett negotiated a right of pre-emption over a Frankleigh Street property currently controlled by Mr Baylis.
Should Frankleigh Street become forfeit and ordered sold in the proceeds of crime claim against Mr Baylis, Ms Cribbett has first opportunity to buy at market value, before the property is offered for sale on the open market.
Commissioner of Police v. Cribbett – High Court (10.10.24)
25.008