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[2009] NSWCCA 162
Court of Criminal Appeal (NSW)
2009-06-02
Campbell JA, Latham J, Harrison J
Original judgment source is linked above.
CITATION: GRENFELL, Richard Gerald v R [2009] NSWCCA 162
JUDGMENT OF: Campbell JA at 1; Latham J at 9; Harrison J at 10
DECISION: Leave to appeal granted. Appeal dismissed.
CATCHWORDS: CRIMINAL LAW - sentencing - applicant pleaded guilty to social security fraud committed over 28 year period involving creation of false identity and in excess of $200,000 - applicant 77 years old and suffering from progressive optic atrophy, hypertensive nephrosclerosis and lumbo sacral degeneration - effective non-parole period of 2 years 8 months for all counts to be served concurrently - whether sentencing judge erred in failing to consider legislative change concerning s 29D of the Crimes Act 1914 (Cth) and s 135.1(2) of the Criminal Code Act 1995 (Cth) - whether insufficient weight given to applicant's medical condition and disabilities - whether sentences manifestly excessive - no error found.
Crimes Act 1914 (Cth) LEGISLATION CITED: Criminal Appeal Act 1912 Criminal Code Act 1995 (Cth) Criminal Code Amendment (Theft, Fraud, Bribery and Related Offences) Act 1999 (Cth)
Charkawi v R [2008] NSWCCA 159 Bick v R [2006] NSWCCA 408 R v De Vroome (1987) 38 A Crim R 146 R v Hinton [2002] NSWCCA 405, (2002) 134 A Crim R 286 R v Keir [2004] NSWCCA 106 CASES CITED : R v Purdon (Court of Criminal Appeal, 27 March 1997, unreported) R v Ronen [2006] NSWCCA 123, (2006) 161 A Crim R 300 R v Smith (1987) 44 SASR 587 R v Sopher (1993) 70 A Crim R 570 Rutkowskyj v R [2008] NSWCCA 10 SZ v R [2007] NSWCCA 19, (2007) 168 A Crim R 249 TYN v R [2009] NSWCCA 146
PARTIES: Richard Gerald Grenfell (Applicant) Regina (Respondent)
COUNSEL: M J Johnston (Appellant) W J Abraham QC (Respondent)
SOLICITORS: S O'Connor, Solicitor for Legal Aid New South Wales (Appellant) A Powell, Commonwealth Director of Public Prosecutions (Respondent)
LOWER COURT DATE OF DECISION: 21 February 2008 (date of sentence)
IN THE COURT OF CRIMINAL APPEAL 2007/15899
CAMPBELL JA LATHAM J HARRISON J
12 June 2009 GRENFELL Richard Gerald v R Judgment 1 CAMPBELL JA: I agree with Harrison J, concerning grounds 2 and 3, but give my own reasons concerning ground 1. 2 In R v Ronen [2006] NSWCCA 123, (2006) 161 A Crim R 300 the charges against the Appellants concerned a conspiracy to defraud the Commonwealth of taxation revenue. The maximum penalty under the sections of the Crimes Act 1914 (Cth) that applied to any such conspiracy was 20 years imprisonment. Those provisions of the Crimes Act were replaced by s 135.4 Criminal Code Act 1995 (Cth), which created a variety of offences connected with conspiracy to defraud, and provided for them a maximum penalty of imprisonment for 10 years. It was in relation to the replacement of the 20 year penalty for the conspiracy offences with a 10 year penalty that the Explanatory Memorandum concerning the Criminal Code had stated that the previous penalty was "far too high". 3 In contrast, in the present case the offences that the Appellant committed under the Crimes Act were contraventions of s 29D of that Act, which provided: "A person who defrauds the Commonwealth or a public authority under the Commonwealth is guilty of an indictable offence." Section 29D provided a penalty of 10 years imprisonment. 4 The offences with which the Appellant was charged under the Criminal Code were against s 135.1(5), which provides: "A person is guilty of an offence if:
(a) the person dishonestly causes a loss, or dishonestly causes a risk of loss, to another person; and
(b) the first-mentioned person knows or believes that the loss will occur or that there is a substantial risk of the loss occurring; and
(c) the other person is a Commonwealth entity." The penalty for contravention of s 135.1 is imprisonment for 5 years. 5 The Criminal Code also contains s 134.1, which provides: "(1) A person is guilty of an offence if:
(a) the person, by a deception, dishonestly obtains property belonging to another with the intention of permanently depriving the other of the property; and
(2) Absolute liability applies to the paragraph (1)(b) element of the offence." 6 The Explanatory Memorandum relating to s 135.1 (quoted by Harrison J at par [24]) contains no acknowledgement that the penalty under the former s 29D was too high (let alone "far too high"). Indeed, it recognised that those cases that fell under the former s 29D that involved deception could be charged under s 134.1 and 134.2, which had an identical penalty to the former s 29D. 7 There is no room for doubt that the appellant deceived the Commonwealth, by making claim for a benefit under a false name, and repeatedly giving the Commonwealth false information to justify his continued receipt of the benefit. For conduct like that, the penalty that could arise under the Criminal Code was exactly the same as the penalty that could arise under the Crimes Act. Ground 1 fails because the premise from which it starts - that Parliament has shown a different policy towards sentencing for such an offence under the Criminal Code to that which it had shown under the Crimes Act - is not made out. That a prosecutor has chosen to prosecute the Appellant for an offence under s 135.1, rather than under s 134.1, does not involve any acknowledgement that the conduct is any less serious than a contravention of s 29D Crimes Act. 8 I agree with the order proposed by Harrison J 9 LATHAM J: I agree with Harrison J. 10 HARRISON J: The applicant pleaded guilty on 21 August 2007 to seven charges relating to fraudulent claims for social security payments over the period from 1978 to 2006. The total amount involved was $203,669.21. The offences were as follows: 1. One offence pursuant to s 29B of the Crimes Act 1914 (Cth) ("the Act").
[73] I find it impossible, consistently with this approach, to ignore legislative acts or statements that indicate that Parliament's view of the seriousness of particular criminal conduct, as reflected in the maximum penalty for an offence punishing that conduct, has changed. This is particularly so where the offending occurs at a time relatively proximate to the expression of the change of view. The applicants' criminal conduct came to an end in 2001 the same year that the legislation was amended.
[74] In my opinion the Judge was correct to take into account the change in the legislature's attitude to this type of offending and to reduce the impact of the maximum penalty accordingly. Even though the transitional provisions retained the maximum penalty, those provisions applied to all the offences that were being repealed and not simply the offence with which the applicants had been charged. That general provision as it applied to the applicants had to be considered against the specific indications of Parliament's change of attitude with respect to fraud offences such as those with which the applicants had been charged." 23 His Honour had earlier considered the legislative intention at par [25] as follows: "[25] When introducing the bill containing the new Code provisions on 24 November 1999, the Attorney General described the amendments as providing "a wide range of modern offences to protect the Commonwealth Government and public officials from criminals who would cause them financial harm or seek to obstruct, threatened or harm them". The Attorney also stated, "The bill…replaces existing Crimes Act 1914 offences with a modern and transparent scheme for preventing and punishing theft, fraud, bribery, forgery and related offences". He also noted that the bill "brings about uniformity in penalties for key offences, which have long differed between state and federal jurisdictions, and between different acts" and referred to the maximum penalty of 10 years for the fraud offence." 24 The Explanatory Memorandum to the Bill is relevantly as follows: " Proposed section 135.1 - General dishonesty
[41] However, notwithstanding that I am of the opinion that the maximum penalty was imprisonment for 20 years for the conspiracy offences, it may not necessarily follow that the fact that the maximum penalty for the fraud offences in the Code is imprisonment for 10 years is totally irrelevant. The Judge in the present case, as a matter of fairness and justice, took into account the change in attitude of the Parliament to the seriousness of the type of offences committed by the applicants when determining the appropriate sentences to impose upon them. The Crown has argued on its appeal that the Judge was in error in his approach in this regard and I will address this matter when dealing with the Crown appeal." 26 The Crown contended that while a sentencing judge is entitled to take that last mentioned fact into account, it is not an error to fail to refer to it. In any event, as both parties were at pains to emphasise, the offending conduct in this case spanned some 28 years and much of it occurred at a time significantly before the changes to the legislation. Moreover, the applicant's submission appears to overlook or to ignore the fact that the applicant was sentenced in relation to a number of offences that were to be served concurrently. That was an approach taken by the sentencing judge that was favourable to the applicant. 27 In my view the sentencing judge did not fall into error. As the authorities reveal, the legislative changes did not have the effect of re-calibrating the sentences for the offences with which the applicant was charged and to which he pleaded guilty. The significant issue in this respect is that for the most significant proportion of the extensive period over which these offences were committed, the penalties that applied were in line with those to which his Honour had regard. I agree with respect that the repeal of one offence and the enactment of a different offence do not operate as a reduction in the sentence for the repealed offence. The legislation does not say so and the implication that it did so is not strong. An argument to this effect is something to which a judge may, not must, have regard without falling into error so that the failure of a judge to do so does not correspondingly bespeak error. 28 This ground of appeal is not made out. Ground 2 29 Section 16A(2)(m) of the Act requires the Court to take into account in addition to other matters the character, antecedents, age, means and physical or mental condition of the person. His Honour said this in the course of his remarks on sentence: "I come now to consider the non-parole period. After discussions with counsel I have determined that it is appropriate in this court in dealing with Commonwealth offences to set the non-parole period in respect of all of the sentences which I have dealt with at this sitting today. The non-parole period must reflect the overall criminality involved. In this case it has been submitted on behalf of the offender that his disability, which has entitled him to the pension, and the frailty as a result of his age would require a significant reduction so far as the non-parole period of imprisonment [sic].
I have taken those matters into consideration, but the criminality involved in all the offences requires of the court that it impose a sentence of imprisonment which reflects general deterrence. I have taken into account the age of the prisoner, but consider that the only appropriate sentence was a period of full-time imprisonment. Counsel for the offender has not put any submissions contrary to that when I raised that with him earlier this morning. It is also important that the non-parole period reflects the criminality involved, as I have already stated.
The court is aware that imprisonment in these circumstances of a person of this age with these medical conditions does impose [sic] problems for the authorities." 30 The remarks on sentence contain specific advertence by the sentencing judge to the issues under consideration. Part of what he said includes the following: "There is evidence before the court from a Dr Pham of Carringbah. In her report she has indicated that the offender has a long term progressive optic atrophy with loss of central vision, but that he retains peripheral vision. Dr Pham states that he will be handicapped as a result of this but will be able to cope. He also has a hypertensive condition which requires medication. Dr Pham states that the medication required would be daily medication, and he would also require regular checks of his blood pressure and blood test. It is also stated that the offender suffers with degenerative changes in his lumbosacral spine and has had a recent aggravation of his degenerative condition of the spine due to a fall.
In a subsequent report Dr Pham states that, considering his age and current health, she is of the opinion that full-time imprisonment would have a grave effect on his health and well-being. Dr John J Kelly, a consultant nephrologist, who has also been treating the offender, has stated that the potential health risks of imprisonment to the offender would be the risk of significant injury if he were to fall in an unsafe environment, and the concern that his diet may not be able to be appropriately modified if problems with high blood potassium recur. Dr Kelly states that both of these considerations pose a significant health risk to the offender if they are not appropriately managed." 31 However, his Honour also had regard to other material dealing with the care of prisoners in similar circumstances. His Honour's remarks are as follows: "The court is assisted by a letter which is [sic, it] has received from a Dr Virginia Knoll of the Justice Health Department. In a report of 19 October 2007, Dr Knoll states that Justice Health is an area health service of the New South Wales Department of Health tasked with providing health care to patients under the care of the New South Wales Department of Corrective Services. She states that the department has salaried nursing staff in all correctional facilities and visiting general practitioners who provide primary health medical care, and in addition employ specialists in the areas of psychiatry and addiction medicine, and also co-ordinate special treatment for patients through the Prince of Wales Hospital for men and local hospitals for women.
Dr Knoll states that the department has close ties with the Aged Care Assessment Team at the Prince of Wales Hospital, and employs a specialist chronic and aged care clinical nurse consultant who is involved in the co-ordination of care for older patients. Further, that an aged care steering committee with members from Justice Health and the Department of Corrective Services meets monthly to discuss clinical issues and co-ordinate the medical and environmental needs of older patients, and at such meetings recommendations can be made on the most appropriate sites for housing individual patients and arrangements made for alterations of cells, purchase of mobility aids and other equipment.
It is stated by Dr Knoll that, in general, older patients are disbursed in sites through the state, but the steering committee monitors their welfare and may, for example, recommend that a particular individual should be housed in a facility with 24-hour nursing staff on duty or within close range of a hospital. She further states that if an older patient deteriorates to the stage of requiring nursing home level care, this will be provided in the inpatient (B) ward of Long Bay Hospital.
In addition, Dr Knoll states that within 28 days of arrival into custody, older patients have a long term health plan completed in which their ongoing health needs are assessed and organised and that, in summary, the Justice Health Service is able to co-ordinate ongoing medical care for older patients suffering from a variety of health problems including physical and mental illnesses and drug dependence. This report of Dr Knoll is of considerable assistance to the court and does not in any way detract from the need for the non-parole period of imprisonment to reflect the criminality involved." 32 In R v Smith (1987) 44 SASR 587 at 589 King CJ said this: "The state of health of an offender is always relevant to the consideration of the appropriate sentence of the offender. The courts, however, must be cautious as to the influence which they allow this factor to have upon the sentencing process. Ill health cannot be allowed to become a licence to commit crime, nor can offenders generally expect to escape punishment because of the conditions of their health. It is the responsibility of the Correctional Services authorities to provide appropriate care and treatment for sick prisoners. Generally speaking ill health will be a factor tending to mitigate punishment only when it appears that imprisonment will be a greater burden on the offender by reason of his state of health or when there is a serious risk of imprisonment having a gravely adverse impact on the offender's health." 33 In R v De Vroome (1987) 38 A Crim R 146 at 147 his Honour applied those remarks in the following passage: "The courts can make some adjustment to sentences to take account of the additional hardship caused to an offender by his condition, but they are necessarily limited in the extent of such adjustment by the necessity of maintaining proper standards of punishment." 34 I can observe no basis for the submission that his Honour fell into error in any way in the manner in which he had regard to the evidence or applied it to the facts of the present case in the light of these authorities. I do not agree that his Honour failed to give sufficient weight to the applicant's disabilities or that he focused inappropriately upon the problems that these difficulties would present to the correctional authorities. The very nature of his Honour's deliberations was to have regard to the conditions in which and under which it might be expected that the applicant would be required to serve his sentence. The extent to which appropriate care and medical assistance is available, and the nature and extent of facilities that are at hand to care for prisoners with ill health, are factors that are directly related to questions of whether or not the applicant will or might be subjected to an unduly burdensome period in custody. There is no significant weight of medical opinion that suggests that the applicant's indifferent health will impose unique hardship upon him in the circumstances, even if his period in custody might reasonably if not obviously have been thought to be somewhat easier for him if he were well. The balancing exercise that his Honour was required to undertake having regard to the idiosyncratic nature of the applicant's combination of conditions and the need to impose a sentence that reflected the extent of his criminality does not appear to me to have miscarried. 35 Even though the applicant's age, physical disabilities and limited eyesight are in all likelihood going to make his time in custody difficult, they will not in my view make that experience so difficult as to attract the principles to which King CJ has referred. The necessary limitations that are imposed upon the extent to which an individual's health can operate as a factor favouring a lighter sentence apply to this Court's consideration of whether or not the sentencing judge fell into error. In my opinion no error has been demonstrated. 36 This ground of appeal is not made out. Ground 3 37 The applicant submitted that the individual sentences were manifestly excessive both when considered objectively and after taking into account the particular subjective features of this case. 38 For the s 29B offence the sentencing judge is said to have chosen a starting point, before a discount for the plea of guilty, of two thirds of the maximum penalty. For the s 135.1(5) offences the starting point is said to have been 87 per cent of the maximum before the same discount is applied. The overall non-parole period is, as already discussed, 2 years and 8 months. 39 These contentions are to be compared with, or considered in the light of, the following considerations. First, the offending persisted over a period of approximately 28 years. Secondly, the sum of $203,000 is not inconsiderable and was obtained in the course of a premeditated scheme involving a false identity. Thirdly, the offences did not cease until the applicant was detected. 40 The Crown emphasised the line of authorities that underscores the heavy penalties that those who defraud the social welfare system might expect to encounter. See, for example, R v Sopher (1993) 70 A Crim R 570; R v Hinton [2002] NSWCCA 405, (2002) 134 A Crim R 286; R v Purdon (Court of Criminal Appeal, 27 March 1997, unreported). The importance of general deterrence when sentencing for offences of this type has also been emphasised: see R v Keir [2004] NSWCCA 106; Bick v R [2006] NSWCCA 408 at [16]; R v Purdon (supra). 41 The Crown also submitted that the applicant's attention to the individual sentences imposed and their relevant starting points should yield as a matter of importance to the overall sentence that was actually imposed: Rutkowskyj v R [2008] NSWCCA 10; SZ v R [2007] NSWCCA 19, (2007) 168 A Crim R 249; cf TYN v R [2009] NSWCCA 146 at [34]. 42 In my view the sentences imposed by his Honour were within the range of sentences imposed for like offences. The sentences were not in any sense outside what might be expected to apply in cases involving the level of systematic and repeated deception that was the hallmark of the present offences. Comparison with cases such as Bick v R (supra) and Charkawi v R [2008] NSWCCA 159 makes this clear. Having regard to the principle of totality I observe again that the complete absence of any accumulation of the sentences imposed for the individual offences amounted to a significant amelioration of the sentences overall. 43 The sentences imposed by his Honour were not manifestly excessive. This ground of appeal is not made out. Orders 44 In my opinion, leave to appeal should be granted but the appeal should be dismissed.
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GRENFELL, Richard Gerald
R
(1987) 44 SASR 587
(1987) 76 ALR 97
(1998) 192 CLR 493