Judgment
1BASTEN JA: The respondent, Mr Ehrlich, was sentenced by Tupman DCJ in the District Court for an offence involving the supply of 1.615 kilograms of methylamphetamine. The offending took place over a period of three months. After allowing a discount of 25% for the plea of guilty and a further 10% for assistance to authorities, her Honour sentenced the respondent to a non-parole period of four years and 10 months, with a balance of term of one year, eight months. The sentence was handed down on 16 June 2011.
2By notice of appeal filed on 29 June 2011, the Director of Public Prosecutions appealed against the sentence on the basis of its manifest inadequacy. On 30 September 2011 a further ground was added, namely that the sentencing judge had erred by awarding a discount of 10% for assistance provided to the authorities, under s 23 of the Crimes (Sentencing Procedure) Act 1999 (NSW) ("the Sentencing Procedure Act").
3The factual background, including the nature of the offending, the respondent's role and his personal circumstances, have been set out by Adams J and need not be repeated. I agree with his conclusion that the appeal should be dismissed and, subject to what follows, with his reasons.
4Under the heading "Discounts", Adams J refers to a number of cases dealing with the manner in which to approach multiple discounts, which raise the following issues:
(a) whether there is some restraint to be imposed on the amount of a discount for assistance to authorities;
(b) whether the arithmetical assessment of individual discounts is necessary or appropriate, and
(c) whether, where two separate discounts are applied, they should operate consecutively.
5The submissions for the Director directly raised for consideration only the first matter identified above. Thus, he contended that, in principle, a discount of only 15% is available for assistance to authorities and hence 10% (being two-thirds of the generally available discount) could not be justified in the circumstances of this case. The Director placed reliance on the reasoning of RS Hulme J (McClellan CJ at CL and Hidden J agreeing) in R v Kumar & Feagaiga [2008] NSWCCA 328 at [34].
6The short answer to the Director's submission is that it was misconceived. To speak of a level of discount as "generally available" is to invite questions as to the kind of assistance which is "generally provided". It is also to make assumptions about the matters to which the Court must have regard, as set out in s 23(2) of the Sentencing Procedure Act. Further, taking reasoning in a particular case out of context and applying it as a general principle is an exercise fraught with dangers, particularly in relation to the broad discretionary exercise of sentencing offenders. Such a course also runs the risk of selective reliance on particular "authorities", to the exclusion of others. It is a straightforward matter to find other decisions in this Court which have allowed discounts for assistance to the authorities of up to 50%: R v NP [2003] NSWCCA 195; R v El Hani [2004] NSWCCA 162 at [71] Howie J (Simpson and Bell JJ agreeing). As stated by Gleeson CJ in R v Gallagher (1991) 23 NSWLR 220 at 230 (Meagher JA agreeing):
"Even in cases where, as a matter of legitimate discretionary decision, a judge decides to give a specified discount it is essential to bear in mind that what is involved is not a rigid or mathematical exercise, to be governed by 'tariffs' derived from other and different cases but, rather, one of a number of matters to be taken into account in a discretionary exercise that must display due sensitivity towards all the considerations of policy which govern sentencing as an aspect of the administration of justice."
7Those remarks must, of course, be qualified by the statutory scheme now found in s 23 of the Sentencing Procedure Act, but their tenor is not diminished.
8The second matter, namely the supposed need for arithmetical precision, gives rise to no significantly different question to that raised above. What might have been said in Gallagher as to the ability of a sentencing judge not to specify specific elements of a discount now requires qualification by reference to s 23(4), introduced by the Crimes (Sentencing Procedure) Amendment Act 2010 (NSW), which commenced on 14 March 2011:
"23 Power to reduce penalties for assistance provided to law enforcement authorities
(1) A court may impose a lesser penalty than it would otherwise impose on an offender, having regard to the degree to which the offender has assisted, or undertaken to assist, law enforcement authorities in the prevention, detection or investigation of, or in proceedings relating to, the offence concerned or any other offence.
...
(4) A court that imposes a lesser penalty under this section on an offender because the offender has assisted, or undertaken to assist, law enforcement authorities must:
(a) indicate to the offender, and make a record of the fact, that the lesser penalty is being imposed for either or both of those reasons, and
(b) state the penalty that it would otherwise have imposed, and
(c) where the lesser penalty is being imposed for both reasons - state the amount by which the penalty has been reduced for each reason."
9Compliance with this provision will generally, if not invariably, permit the discount to be identified, even if not expressly stated, by calculating the proportion of the sentence imposed of that which would otherwise have been imposed, each of which are to be stated.
10In relation to the third matter, the sentencing judge assessed the respective discounts for the guilty plea and for assistance to authorities and combined them to identify the appropriate sentence. No error of law was asserted in undertaking this course, nor is any error manifest.
11Adams J refers to authority which appears to support the proposition that discounts should be applied consecutively. That approach was adopted by the Court in R v NP [2003] NSWCCA 195 at [30] (Hodgson JA) and [47] (Simpson J). In R v El Hani the Court accepted this approach "in a case where it is appropriate to specify individual discounts": at [70]. There is no reason to doubt that conclusion: however, the inference (implicit though not expressed) that it is incorrect to add the discounts, so as to achieve a single global figure applied to the sentence which would otherwise have been imposed, should not be assumed without demonstration. No authority or statutory support for the adoption of one approach rather than another was relied on in the cases noted above. Nor does s 23 necessarily require either process to the exclusion of the other. For example, for the Court to state the penalty which it would "otherwise have imposed" no doubt refers to the appropriate penalty disregarding only the assistance to authorities. It says nothing as to the manner in which the discounting is to be achieved. Indeed, on one view, the manner in which it is achieved is irrelevant: the selected reduction can be expressed in a number of different ways, none of which is prohibited.
12The fact that no objection was taken to the cumulative discount approach in this case supports the view that it is commonplace to adopt such an approach, regardless of what was said in R v NP and El Hani. Indeed members of the Court in those cases have, in other cases, accepted or applied the cumulative approach.
13The real issue with respect to the allowance of a discount on two bases is to avoid double counting of a particular element. In the present case, the discount for the guilty plea was required by the Criminal Case Conferencing Trial Act 2008 (NSW). It is thus necessary to have regard to the factors relevant to that discount, as identified in s 16:
"16 Sentencing for certain indictable offences taking into account guilty plea
...
(2) A discount for a guilty plea, in relation to an offence, means a discount for:
(a) the saving in resources and time that would otherwise be expended in a trial for the offence but for the guilty plea, and
(b) the avoidance of the additional trauma to the victim that might be caused by a trial for the offence, and
(c) the contrition that the sentencing court considers that the offender demonstrates by pleading guilty, and
(d) any other benefit associated with or demonstrated by the guilty plea."
14Assistance to authorities may also reflect contrition: R v Cartwright (1989) 17 NSWLR 243 at 256 (Hunt and Badgery-Parker JJ). To the extent that such contrition is, by statute, included within the discount for the plea, care must be taken by the Court to avoid double counting in respect of the discount for assistance. However, a range of other factors are also relevant in respect of the latter discount (see Cartwright at 253) and there was no suggestion in the Director's submissions that in this case the sentencing judge engaged in illegitimate double counting of that consideration.
15ADAMS J:
Introduction
16This is an appeal by the Director of Public Prosecutions from a sentence passed in the District Court on the respondent upon a charge of supplying not less than the large commercial quantity of methylamphetamine between 4 September and 11 November 2009, contrary to s 25(2) of the Drug Misuse and Trafficking Act 1985. The maximum penalty prescribed for this offence is life imprisonment and/or a fine of $550,000 with a standard non-parole period of 15 years. The respondent was sentenced to an overall term of six years and six months imprisonment with a non-parole period of four years and ten months commencing on 2 March 2010, which was the date of his arrest. A discount of 25% was allowed, the plea having been entered at the Central Local Court, together with a further 10% discount under s 23 of the Crimes (Sentencing Procedure) Act 1999. The sentence was imposed on 16 June 2011. On 29 June 2011 notice of appeal was filed by the DPP upon the ground that the sentence was manifestly inadequate. On 30 September 2011 a further ground was added that the discount of 10% under s 23 of the Crimes (Sentencing Procedure) Act 1999 was excessive.
The facts
17Although there was some dispute at the sentence proceedings in relation to certain quantities of drug allegedly supplied by the respondent, her Honour's factual findings (which were adverse to the respondent) were not in dispute on the appeal. The following account is largely taken from the learned sentencing judge's reasons for sentence. In about September 2009 an investigation identified a drug syndicate operating between Sydney, Perth and Kalgoorlie, the members of which included the respondent and six others, Brent Taylor, Nigel Martin, Lasalo Paeu, Thi Pham, Andrew Teakaraanga and Leah Anderson. The six offenders pleaded guilty to offences of supplying drugs as part of the syndicate. The first four have been sentenced and the last two are awaiting sentence. The offence for which the respondent was sentenced was committed over a period of about three months and involved his supplying a total amount of 1.615 kilograms of methylamphetamine.
18At the sentence proceedings, the respondent conceded the supply of 1.389 kilograms but disputed the balance. However, this controversy was decided against him. The charge involved rolling up nine supplies over the three month period. No objection was taken to proceeding in this way. The Crown alleged that the total amount of drugs supplied was 1.165 kilograms. Apart from an amount of 261.6 grams of methylamphetamine actually located and confiscated on the last of the nine occasions, namely 10 November 2009, no other drugs were seized by the authorities and the nature and quantity of the supply on the other occasions was inferred from the content of intercepted telephone conversations involving the offender and other members of the syndicate and other events such as the transfer of funds.
19The respondent was based in Sydney as were Thi Pham, Teakaraanga, Paeu and Martin whilst Taylor was based in Perth and Anderson in Kalgoorlie. Its operations were demonstrated from the various instances comprising the respondent's rolled up offence. The first instance involved Anderson in Kalgoorlie communicating with the respondent in Sydney seeking the supply of 340 grams of methylamphetamine to on-sell. The respondent organised an unknown male to deliver the drug to her on 5 September 2009. On 9 September 2009 Thi Pham supplied 220 grams of methylamphetamine to the respondent which he intended to on-supply. As it happened, this was a smaller quantity than had been agreed but it was, at all events, found to be of inferior quality so the respondent returned it to Thi Pham on 10 September 2009. Between 22 and 24 September 2009 Thi Pham provided the offender with 113 grams of methylamphetamine which he had agreed to supply to Taylor in Perth as part of the syndicate's operations. For this purpose, the respondent himself travelled to Perth and gave the drugs to Taylor on 25 September 2009. Between 26 September and 4 October 2009 (he then being back in Sydney), the respondent arranged to supply 113 grams of methylamphetamine to Taylor in Perth and 85 grams to Anderson in Kalgoorlie. He obtained the drug from Thi Pham and gave it to Martin to take to Western Australia to complete the agreement. Between 10 and 12 October 2009 the respondent obtained a further 226 grams of methylamphetamine and agreed to supply part to Anderson in Kalgoorlie and part to Taylor in Perth. He obtained possession of the drug and delivered it on 11 October 2009. On 13 October 2009 the respondent supplied Taylor with a further 113 grams of methylamphetamine, the latter flying from Perth to Sydney, where the respondent gave it to him. On 16 October 2009 the respondent arranged to supply Taylor with a further 5 ounces of methylamphetamine and flew to Perth on that day to supply it to him. The last occasion of the overall supply charged against the respondent occurred between 27 October 2009 and 10 November 2009. Arrangements were made for Thi Pham to provide 261.6 grams of methylamphetamine to the respondent. On 10 November 2009 Taylor flew to Sydney and the respondent arranged for Teakaraanga to collect the methylamphetamine from the respondent's premises, the respondent then being in Melbourne. The drug was collected and being transported back to Perth, largely by Paeu but also with the assistance of Taylor when they were arrested at Sydney Airport. The 261.6 grams of methylamphetamine were found in Paeu's clothing. The respondent had obtained the drug from Thi Pham to supply to Taylor as part of the syndicate.
20The respondent was arrested on 15 November 2009 and declined an interview. As it happened, he was initially charged only in relation to the methylamphetamine found in Paeu's possession on the occasion of the latter's arrest and the respondent was given conditional bail. It soon became apparent that the respondent was involved in a large scale drug syndicate and he was later arrested in Brisbane on 2 March 2010, as it happened on unrelated matters. He was then charged with the offence for which he was ultimately sentenced.
The respondent's role
21The learned sentencing judge concluded that the respondent was "at least a principal in this drug supply syndicate" even though it could not be said that he was at its head. Others played a significant role as well, for example Thi Pham was the person from whom the drug was sourced. Taylor and Anderson were described by her Honour as "middlemen", taking large quantities of the drug and on-supplying them in Western Australia, whilst the others identified in the facts acted more in the role of couriers, further down the chain. Her Honour summarised the role of the respondent as follows -
"I accept from the evidence that this offender undertook the following roles in this syndicate. He obtained drugs from Thi Pham. He arranged the transportation of them from New South Wales to Western Australia, either taking them himself or arranging for others to take them. He organised for others in the syndicate to transfer money to various bank accounts and in various ways at his direction.... so that he could source more methylamphetamine to continue the supply chain to Western Australia as part of the syndicate. On an occasion he gave some instructions to Anderson on how to mix the methylamphetamine for on supply. On occasions he collected cash from the purpose of paying for the drugs and on an occasion he appears to have set the price for those drugs in a conversation with other members of the syndicate.
The total sum of money which he directed to be transferred from the sale of these drugs during the relevant period, which is able to be ascertained was $455,000. There is no evidence from which I can ascertain how much of this he received himself, but there is no doubt that he was engaged in this offence for financial reward. Clearly he did not get all this money himself. Some, perhaps most, was used to buy more methylamphetamine to supply on again in addition to these traceable transfers to institutions, there was also cash transferred between co-offenders, members of the syndicate, when they met in person, the amounts of which are not in evidence."
22The sentencing judge concluded that the respondent was "a principal" and "pivotal to the ongoing success of the syndicate". Her Honour noted that others played very important roles and might also be seen as pivotal, including those, for example, who actually organised the supply in Western Australia so that money could be obtained and sent back but the offender was "the common thread" amongst the persons whose identity was disclosed in the material before the judge. Her Honour noted that, from the telephone calls tendered to her, acting as part of the syndicate was his full-time job and he was doing this for financial gain.
Objective Seriousness
23The sentencing judge characterised the respondent's offence as "very serious" and pointed to the maximum penalty as demonstrating how seriously the offence is regarded. Her Honour said the sentence must contain a significant element of general deterrence. Although her Honour noted that the "standard non-parole period does not apply because this is a plea of guilty", it seems that she did not mean this literally, since she decided it was necessary to "assess where the offence lies in terms of objective seriousness because it is an offence to which a standard parole period applies" and went on to conclude that the offence "lies in the middle of the range in terms of objective seriousness but very much towards the bottom of the middle of that range." This approach has been disapproved by the High Court of Australia in Muldrock v R [2001] HCA 39. Be this as it may, this Court must consider whether the sentence was relevantly in error by reference to the principles enunciated in Muldrock and, it is not useful I think to analyse the sentencing judge's approach to the standard non-parole period.
24The sentencing judge noted the following additional objective circumstances. The quantity of methylamphetamine was just over 1.6 kilograms which, although a large quantity, is close to the commencement point of one kilogram for large commercial quantities. The last supply involved methylamphetamine having a purity of about 30% (significantly more pure than found in street deals) and one transaction was of such poor quality that it was returned as unsaleable, but nothing further is known about the purity of the drugs supplied. The single charge comprised a series of criminal acts committed over the relatively lengthy period of three months as part of an organised criminal activity involving very large sums. On the other hand, her Honour found that the syndicate's operations were not particularly well organised or sophisticated; the telephone calls were easily intercepted and used the respondent's phone or phones that could easily be traced to him; it was quite clear what the participants were talking about although there were some unsophisticated attempts at using a code. Her Honour thought that the secretion of the last quantity found in the clothing of a person about to board a plane also indicated a lack of sophistication.
25If I may say so with respect it seems to me that her Honour's characterisation of the nature of the offence and the role of the respondent were not only open to her but entirely just.
The subjective features
26There was no dispute either below or in this Court as to the correctness of the sentencing judge's findings in this regard. The respondent was 35 at the time he committed the offences, having been raised as one of three siblings in a happy and comfortable environment, though he had a bad reaction to his parents' divorce when he was 13. He suffered learning difficulties at school and left after completing year 10, working as a plumber's apprentice for a year and then becoming a fishmonger, managing two fish retail businesses for some 12 years. It appears that he was well regarded by those with whom he came into contact when he was undertaking this work. The respondent started to use illicit drugs when he was 32 years of age and became addicted to them, as also to gambling. Gambling debts accrued over some years, amounting to about $400,000 around the time he committed the offence. Her Honour accepted that he became involved in the offence to pay for his gambling and drug addictions. The applicant was in a relationship for a number of years, from which he has a nine years' old son. Although that relationship ended in 2006 he continued and continues to have regular contact with his son and his former partner, his son's mother. Whilst in custody he had received regular visits from his mother, step-father, his son and other close family members. Their ongoing support will assist in his prospects of rehabilitation.
27The applicant's criminal record commenced with an offence of robbery in company committed in 1991 when he was 17 years of age for which he was placed on probation of 18 months and required to pay compensation of $1,220. Convictions for dishonesty followed in 1993, all resulting in a fine except for one fixed term of three months imprisonment. In 1995 he was imprisoned for six months for supplying a prohibited drug and was also convicted of some thirteen charges of receiving to which he was sentenced to the rising of the court. In 2000 he was convicted of assault occasioning actual bodily harm and placed on a three year bond. He committed two summary matters of relatively minor significance in Queensland, resulting in fines. The sentencing judge (with respect rightly) thought it noteworthy that there was a very significant gap in ongoing offending from 1995 when he was released from custody except for the assault for which he received a bond. At this time it appears that he was working hard in the community and well regarded by his employers and others with whom he associated. It was during this period that he commenced his relationship with his former partner and his son was born. There is convincing evidence of the applicant's remorse. The judge accepted that the respondent's prospects of rehabilitation were reasonably good but, not surprisingly, entirely dependent on his being able to control his gambling and drug addictions.
Discounts
28The applicant was entitled to a 25% discount on the sentence otherwise applicable by virtue of his plea at the Local Court. Material was tendered to her Honour which gave rise to a further 10% discount. The extent of this discount was a ground of appeal. Quite apart from the significance of the Crown prosecutor's concession at first instance that it was reasonable, I have read the material for myself and have concluded that the discount was well within her Honour's discretion.
29It was submitted in this Court that the discount of 10% given under s 23 of the Crimes (Sentencing Procedure) Act 1999 discount, which resulted in a combined discount of 35%, was excessive relying on the view expressed by Howie J (with whom McClellan CJ at CL agreed) in R v Sukkar [2006] NSWCCA 92 at [5] that "discounts for a plea in assistance of more than 40% should be very exceptionally, if at all, granted in a case where there is no evidence that the offender will spend the sentence, or a substantial part of it, it more onerous conditions than the general prison population". These remarks have been accepted or followed with approval in, for example, Baldini v R [2007] NSWCCA 327 at [36]; Rutkowski v R [2008] NSWCCA 10 at [11] and R v SC [2008] NSWCCA 29 at [52]. In R v Kumar & Feagaiga [2008] NSWCCA 328 RS Hulme J (McClellan CJ at CL and Hidden J agreeing with this aspect) said -
"[34] [citing the above authorities] Once recognition is given to the fact that discounts of 25% are not uncommonly awarded for pleas of guilty alone, it is apparent that, except in the exceptional cases to which Howie J referred, the available scope for a discount for assistance is or is of the order of 15%. Given Sides DCJ's remarks that each of the offenders had pleaded guilty at the earliest opportunity, it is to be inferred that they received a discount of 25% on that account and that the discount for assistance was the balance of the total 35% discount his Honour awarded. 10% is a high proportion of the 15% generally available and could not come close to being justified by the mere identification of the name and address of a co-offender."
30Nevertheless, I wish with great respect to express my disagreement with this approach, which gives mere arithmetic an inappropriately decisive role capable of undermining the fundamental public interest for which a discount given for assistance to the authorities is allowed. I would respectfully adopt what Simpson J said in R v NP [2003] NSWCCA 195 at [49]-[50] -
[49] The result of the rigorous application of what have become relatively standardised discounts (especially where a considerable discount for a plea of guilty is added to an even more considerable discount for significant assistance) can, on occasion, cause a sharp intake of breath, but that is the result of the application of correct and established legal principle. The result can appear to be disproportionate to the offence(s). Sentencing judges (as in this case) have to balance the need to impose proper punishment with the need to recognise the benefits to the criminal justice system gained by pleas of guilty and assistance to authorities. The correct balance is not always easy to achieve.
[50] This is where s23(3) of the Crimes (Sentencing Procedure) Act 1999 demands consideration, and, sometimes, application. By that subsection, a sentencing judge allowing a discount for assistance to authorities, is required, notwithstanding, to ensure that the resulting sentence is not unreasonably disproportionate to the nature and circumstances of the offence(s).
31In R v Z [2006] NSWCCA 342; 167 A Crim R 436 I discussed the approach of giving a global discount rather than distinct discounts followed by an adjustment under s23(3) where necessary if the resulting sentence was disproportionate to the objective seriousness of the offence. I concede that this was to no avail. I said -
[113] I now move to the discounts. The respondent was given a discount of 25% for the utilitarian value of his plea and an additional 35% for assistance to the authorities, which was (properly) regarded as significant and included preparedness to give evidence and the likelihood that this will be necessary. It was submitted by the Crown in this Court that the reduction was excessive. The first criticism of the discount is that the learned sentencing judge added together two discounts. In my view this criticism is without merit. In R v Thomson and Houlton (2000) 49 NSWLR 383 at [160 (iii)] the guideline noted -
"Where other matters are regarded as appropriate to be quantified in a particular case, a single combined quantification will often be appropriate."
This does not suggest a global quantification that does not indicate separate discounts is either necessary or, for that matter, desirable. The combined quantification appropriately occurs where other quantified discounts are to be given. In my view the reason for the combining of two discounts is to simplify the mathematics and assist with transparency by applying the total discount once.
[114] In R v NP [2003] NSWCCA 195, having determined that the discount for assistance should be increased from 30% to 50%, Hodgson JA (with whom Simpson J agreed on this matter) said -
"[30] In my opinion this 50% should not be simply added to the other 20% to result in an overall discount of 70%. The 50% is meant as a discount to what the sentence would otherwise have been, but for this particular factor. By reason of the 20% utilitarian discount for the plea of guilty, the sentence is only 80% of the starting point, and the 50% discount for assistance results in the halving of this 80%, giving 40%. The total discount is 60%.
In R v El Hani [2004] NSWCCA 162, Howie J (with whom the other members of the Court agreed) adopted this approach as correct. I accept that this Court should follow this approach.
[115] However, I would with the greatest respect, express my doubts about its correctness. Firstly, I think it is inconsistent with the passage from the guideline judgment which I have set out above. Secondly, I think, with respect, it introduces a nicety of calculation that is both arbitrary, as being based on arithmetical accident rather than principle, and capricious as the example set out below demonstrates. If the real problem and matter of principle is that the ultimate sentence is inappropriately lenient, then there should be a frank acknowledgment that this is so and the sentence adjusted to the minimum necessary to comply with the provisions of s23(3) of the Crimes (Sentencing Procedure) Act 1999 (an adjustment which does not require and should not reflect any formula of calculation). I note that this point was made by Simpson J in NP at [50].
[116] The very purpose of quantified discounts is to encourage offenders to plead guilty and to assist the authorities to the extent that they are able. It is obvious that the knowledge that to do so will result in a distinct and significant benefit is a powerful incentive. Take the situation where an offender both pleads guilty and gives significant assistance. Assume the correct discounts are 25% for the plea and 50% for the assistance - the same as in NP. He gets an ultimate discount of 50%. Take his co-offender. He decides to go to trial and is convicted. He gives other and just as valuable assistance. He also gets a 50% discount. They both have the same discount, although one pleaded guilty. This does not strike me either rational or just. Of course, situations will rarely be as neat as this. Nevertheless, the problem and the capricious effect of the calculation is evident.
[117] For these reasons, I would respectfully suggest that the appropriate rule should be that, where two discounts are given, they should not be applied successively so that one applies to the sentence reduced by the other. If the result is inappropriately lenient, then an adjustment should be made and the reason for it clearly stated. This is simpler, more transparent and leads to more consistent and coherent results.
[118] In El Hani, Howie J said -
"[68] A situation where it might not be appropriate or possible to specify the discount is a case where the assistance cannot be identified as a discrete matter, distinguishable and quantifiable, without regard to other mitigating subjective factors. This will generally be so where the assistance follows a plea of guilty and is part of the process of remorse, reform and rehabilitation."
It seems to me that, accepting that double counting should be avoided, it is in the public interest that a more or less identifiable "reward" should be able to be proffered to offenders who assist the authorities. In the reality of things, lawyers must be able to give some real indication to their clients of the advantage to them of taking this course of action. Considering the risks that are frequently associated with helping police and, especially, giving evidence, a vague promise of some unspecified reduction in sentence will rarely suffice. In my respectful view, judges should attempt to indicate the degree to which the sentence has been discounted because of assistance (R v Gallagher (1991) 23 NSWLR 220 per Hunt J at 234), though not where to do so would be unduly artificial or contrived: Gallagher (1991) 23 NSWLR per Gleeson CJ at 228. I believe (with respect, differing from Howie J in the passage above quoted) that most cases - of which the present is an example - fairly readily permit the separate identification of assistance to the authorities from the other subjective features that might be present and that it is desirable that this should be done where it is possible.
119 Where quantification of the separate factors of an early plea and assistance to the authorities is practicable, there is a strong argument for separately indicating each factor. This will have the effect of maintaining the purpose of identifying the "reward" which offenders obtain for pleading guilty on the one hand and, on the other, assisting the authorities with information and, in some cases, giving evidence. It also has the advantage of transparency. I think that in most cases it will be relatively simple to separate these factors.
32We now have in the Crown prosecutor's submission in this Court, apparently supported by the approach of this Court in Kumar & Feagaiga set out in the passage quoted above, a process in which, so far from the distinct discount being specified, the global discount is dissected on the assumption that, if it be 40%, that part applicable to the assistance to the authorities is only 15%, whereas that number is really a contraction from the actual discount. If we now to proceed on the basis that, in the unexceptional case, assistance to the authorities will only obtain a utilitarian discount of 15% where an offender has gone to trial this will seriously to undermine the important public policy which is here involved.
33Moreover, it is difficult to reconcile the approach with s 23(4) of the Act -
(4) A court that imposes a lesser penalty under this section on an offender because the offender has assisted, or undertaken to assist, law enforcement authorities must:
(a) indicate to the offender, and make a record of the fact, that the lesser penalty is being imposed for either or both of those reasons, and
(b) state the penalty that it would otherwise have imposed, and
(c) where the lesser penalty is being imposed for both reasons - state the amount by which the penalty has been reduced for each reason.
The "penalty that it would otherwise have imposed" must mean "the penalty that it would otherwise have imposed but for the assistance". Furthermore, where a discount is given for both past and future assistance, the specific discount for each aspect must be satisfied. It is difficult to see how this can be done if the total discount is the contracted figure. Of course the presence of s23(3) must indicate that there are cases in which the full discount cannot be given. However, the extent to which the full allowance is reduced will vary in each case according to many matters, both subjective and objective. Dealing with this by percentage as distinct from actual terms may well and probably will be inappropriate. To my mind, the interests of transparency require that the starting sentence be specified together with the particular discounts, the resulting sentence be considered against the test in s23(3) and, if the sentence is unreasonably disproportionate to the circumstances of the case, it must be adjusted accordingly.
34It follows that, in this case, the appropriateness of the 10% discount for assistance should not be contrasted with the contracted 15% that is said to be the maximum where there is a 25% discount for the plea, but with an appropriate discount for assistance absent any need to take into account the latter factor. As I said, in my respectful view, the sentencing judge's figure is appropriate and I would reject the Crown appeal to the extent that it depends upon the contention that it was too generous.
35It will be necessary to consider whether applying the combined discount has resulted or will result in an excessively lenient sentence.
36Since writing the above concerning the calculation of discounts, I have had the advantage of reading the discussion of this issue in the judgments of my colleagues. I would not, with respect, take any issue with what Basten JA has written. However, I wish to add some further remarks in response to the judgment of Johnson J.
37I would respectfully point out that the question as to whether a "rolled up" approach that does not at any stage identify the quantum of the separate discounts that can be applied to the assistance and the plea (for ease of reference I call this the "analytical approach") has not been the subject of discussion in the cases to which Johnson J refers. This is scarcely surprising, since the analytical approach does not suggest, let alone require, a different ultimate outcome. The mere repetitive adoption of the rolled up approach does not lay down any principle of law.
38At the end, the crucial question is whether the reduced sentence will require adjustment by reference to s23(3) of the Crimes (Sentencing Procedure) Act 1999. That can only sensibly be considered by comparing the sentence that would result but for the assistance and the plea with the sentence that would result from applying quantified discounts and then making an upward adjustment to the sentence if it be decided that the "lesser penalty ... [is] unreasonably disproportionate to the nature and circumstances of the offence". I do not understand how this can be done simply by looking alone at the percentage awarded for the plea and assistance.
39This is not to suggest, of course, that the scale of percentage discounts that has been adopted by this Court should be disregarded. Quite the opposite. But that is directed, in point of principle, to assessing the benefit that should be given to reward the assistance in the instant case and encourage assistance in other cases. Whether the resulting sentence falls foul of s 23(3) is a fundamentally different question. It is simply not possible to move logically from setting the discount directly to concluding the sentence is unreasonably lenient, though it is obvious that, the higher the discount, the greater the possibility that the resulting sentence will be too low.
40SZ v R [2007] NSWCCA 19; 168 A Crim R 249 deals with the inappropriateness of simply adding the discounts together and applying the sum to the sentence because this would lead to an inappropriately lenient sentence and proposes that the solution is to roll up the discounts and apply the resulting contraction. With respect, merely applying the contraction cannot of itself resolve the s 23(3) issue, since obviously the outcome might still be unreasonably lenient. I would accept, however, that the rolled up discount could inform the question whether the extent of disproportion was "unreasonable". At all events, I am not suggesting that the sum of the discounts should be used. I am suggesting simply that each relevant discount be identified and quantified by reference to the extent to which the administration of justice is served and the public policy interest of encouraging other offenders to likewise assist. Transparency is extremely important in the administration of criminal justice and an approach that enhances transparency is, as it seems to me unarguably, to one that does not. The analytical approach also makes it possible more readily to compare cases - as important for the legal advisors as it is for the Court - and avoids the problem that arose here from the Crown submission that the maximum discount for assistance should be regarded, in an unexceptional case, as 15%.
Other cases
41The Court was referred to a number of other cases involving the supply of not less than a large commercial quantity of methylamphetamine where the standard non-parole period of 15 years was applicable. In Naime v R [2006] NSWCCA 289 the offender pleaded guilty to two charges of supplying methylamphetamine two weeks apart. The second supply involved 1.244 kilograms. The quantity involved in the first supply is not mentioned in the judgment. On the first charge the supply of an undisclosed quantity of ketamine was taken into account on a Form 1. The offender was sentenced to a fixed term of two years for the first charge and on the second charge for nine years with a non-parole period of six years, both sentences wholly concurrent. The offender was aged 26 years at the time of the offence and was on a bond. He had prior convictions for possession of prohibited drugs, driving offences and goods in custody but had not previously served a sentence. The sentencing judge was satisfied that the offence was a "one-off deal" and that the applicant stood to gain about $5,000 which was a relatively small amount in the context of such offences. The applicant received an unspecified discount for his guilty pleas. Sully J (with whom the other members of the Court agreed), described the sentences imposed as "severe" but dismissed the appeal.
42In Hamieh v R [2007] NSWCCA 277 the offender supplied just over two kilograms of methylamphetamine and, following his plea of guilty, was sentenced to 11 years with a non-parole period of seven years. The drugs had a purity of 12% and a potential value between $450,000 and $610,000. He appealed on the ground of parity, pointing to the lesser sentences imposed on his co-accused. There was also a dispute as to the characterisation of his role. Although he had negotiated the price, obtained the initial supply and calculated the profits so that he was not (as submitted on his behalf) in a minor role and did not merely act as a commission agent, he was not, as mistakenly found by the sentencing judge, "supplying drugs on his own behalf", acting as a principal. Although the sentencing judge did not expressly say so, the Court concluded that the offence fell within the mid-range of objective seriousness. The Court accepted that considerations of parity required re-sentencing. Subjectively, the offender suffered from clinical depression with repeated episodes of dissociative disorder, sometimes associated with self-injury. The parity argument was upheld on the basis of the different subjective elements between the offender and his co-offender. The appeal was allowed and the offender sentenced to a term of seven years and 11 months with a non-parole period of five years and two months.
43In R v Kazzi [2008] NSWCCA 77 the offender pleaded guilty to a charge of supplying 196 grams of cocaine for between $3500 and $4200 (count 1), supplying 338 grams of methylamphetamine (count 2) (of which 198 grams was returned). Later the offender supplied a total of 196 grams of cocaine to a single purchaser in three lots (count 3). During the same period, the offender agreed to supply another person with two kilograms of cocaine, although the supply was not effected (count 4). A month or so later, police entered a unit used as a safe house by the offender and the co-offender, finding 2.892 kilograms of methylamphetamine (count 5) and 139.7 grams of cocaine (count 6). The offender had also purchased 990 grams of cocaine and sold for a profit of $20,000 which he split with the co-offender (count 7). The offender pleaded guilty and gave assistance to authorities, leading to a total discount of 30%. The sentencing judge did not find it necessary to determine the offender's "precise standing in the drug milieu" but concluded that he "is clearly nearer the top (of the drug hierarchy) than the bottom". The offender had a significant drug addiction. In respect of counts 1, 3 and 6 the offender was sentenced to a fixed term of one year and six months imprisonment, for counts 2 and 7 terms of five years with non-parole periods of three years and for counts 4 and 5 a term of six years imprisonment with a non-parole period of four years, resulting in an overall sentence of eight years imprisonment with a non-parole period of six years. On appeal by the Crown the sentences for counts 1, 3 and 6 were unchanged, that for count 2 was increased to a fixed term of four years, for count 4 to a term of 10 years with non-parole period of seven years and six months, for count 5 a term of 10 years with a non-parole period of six years and six months and count 7 a fixed term of five years imprisonment, resulting overall to imprisonment for 14 years with a non-parole period of 10 years and six months. The sentencing judge (correctly) categorised the offences generally as being "just below" the middle of the range of objective seriousness but the Court found that he failed to take into account the standard non-parole periods "to the extent which is required by Way." The Court also held that the sentences suggested that his Honour "did not pay careful attention to the maximum penalties". The ultimate sentence reflected the then approach to re-sentencing on Crown appeals.
44In Ly v R [2008] NSWCCA 262 the offender appealed from his sentence of 12 years with a non-parole period of eight years upon a charge of supplying methylamphetamine in the amount of 1.101 grams, three offences of goods in custody, being cash totalling $331,150 were being taken into account. The charges followed the applicant's being stopped and searched by police. He had $34,550 in cash and nine active mobile phones in his possession. A search of his home found four plastic bags containing methylamphetamine, a further 19 active mobile phones, two sets of scales and further cash totalling $296,600. The bulk of the drug was about 50% pure but 28.2 grams had a purity of 74%. The offender was 40 years of age having been born in Vietnam and arrived in Australia with his family as a refugee. He had a major drug addiction. His criminal history was relatively minor. His sentence reflected a discount of 25%. The Court accepted the appropriateness of the sentencing judge's characterisation as the offence as falling within the mid range of seriousness. It was submitted that a significant quantity of the drugs were not actually supplied but the court said that, since this is not an isolated occasion of the possession of drugs for the possession of supply, little, if any weight, could be attached to this fact. So far as the quantity of drugs is concerned, even though the weight did not significantly exceed the threshold, the Court pointed out that this "is not the sole, or even the principal determinant of the offence [but that the] role of the offender is more important, as is the level of his or her participation in the offence", citing R v MacDonnell [2002] 128 A Crim R 44: ibid at [23]. The offender's appeal was dismissed.
45In R v XX [2009] NSWCCA 115; (2009) 196 A Crim R 38, the offender pleaded guilty to a charge of supplying 3.165 kilograms of methylamphetamine and 7.4945 kilograms of ecstasy and asked for eight offences to be taken into account on a Form 1. The drugs were found in a garage used by the offender. They were packaged in a variety of weights clearly for supply and valued at about $600,000. $159,600 was also found, together with parts of a pill press machine, 20 kilograms of an unknown cutting agent, a self-loading rifle (charge 3), a revolver (charge 4) and a pistol (together with a Tazer, ammunition and anabolic steroids) (Form 1). In respect of the first charge the offender was sentenced to a term of seven years with a non-parole period of five years, the second charge (taking into account the Form 1) seven years with a non-parole period of five years, the third charge a fixed term of 15 months and the fourth charge a fixed term of 18 months imprisonment, the last three sentences being entirely subsumed in the first. The offender was also entitled to a discount for assistance, which was (correctly) characterised "truly exceptional" leading to a combined discount of 60%. The Court accepted the sentencing judge's assessment of the offence in count 1 as mid range and the offence in count 2 as just above the mid range of seriousness (saying, in the latter case, that it was "very generous"). The Crown appealed against the sentence imposed on count 2, on the ground that it should not have been concurrent with that imposed on count 1, was itself manifestly inadequate and failed to adequately punish for the offences disclosed on the Form 1. The offender was a supplier "at a mid level in the hierarchy". The Court imposed a term of eight years and nine months with a non-parole period of six years and seven months in respect of count 2 (taking into account the Form 1 offences), in respect of count 3 a sentence of two years with a non-parole period of one year and six months, in respect of count 4 a sentence of two years and five months with a non-parole period of one year and eight months, resulting in a total sentence of nine years and six months with a non-parole period of seven years and four months.
46In Efstathiadis v R [2009] NSWCCA 317 the offender pleaded guilty to one count of supplying 1.9 kilograms of methylamphetamine for which (after a 10% discount for delayed plea) he was sentenced to 14 years imprisonment with a non-parole period of 10 years. The offender was 27 years of age at the time of the offence and had previously been convicted for ongoing supply of a prohibited drug. There was no evidence of regret expressed by the offender. The offender's appeal was dismissed.
47In R v Mahmud [2010] NSWCCA 219 the applicant pleaded guilty to the deemed supply of 1.78 kilograms of methylamphetamine having a purity of around 2%. In respect of this offence the offender was sentenced to six years and six months imprisonment with a non-parole period of three years and six months. He was also charged with possession of two prohibited pistols and two prohibited fire arms for which he was sentenced to imprisonment for three years and six months with a non-parole period of two years and six months, with a culmination resulting in an effective sentence of seven years and six months with a non-parole period of four years and six months. Three counts of possessing a prohibited weapon, three counts of not keeping a firearm safely and two counts of possessing ammunition without a license were taken into account in respect of the sentence for the first offence. The drugs were found wrapped in plastic in a freezer in the offender's residence. The offender had a serious drug addiction. He was 26 years old as at the date of the offences. The Court rejected the Crown's challenge to the sentencing judge's finding that the offender was merely "a convenient repository for someone else's drugs for a "modest return"" and accepted also the sentencing judge's finding that the offence was "substantially below mid range". Nevertheless the court concluded that the Crown's appeal should be upheld in respect of both the firearms and the drug offences as being manifestly inadequate. Accordingly, the offender was sentenced, in respect of count 1, to imprisonment for nine years with a non-parole period of six years and six months and, in respect of count 2 five years with a non-parole period of three years and nine months, resulting in an effective sentence of 10 years with a non-parole period of seven years and six months.
48In Briggs v R [2010] NSWCCA 250 the offender pleaded guilty in the Local Court to one count of supplying 4.284 kilograms of methylamphetamine found in his residence having a potential value of between about $250,000 and $640,000. Electronic scales, a smoking pipe, plastic resealable bags, pill press and 23 rounds of 0.22 calibre ammunition were also found. In his vehicle a briefcase containing $295,100 and a suitcase containing plastic resealable bags, electronic scales, rubber gloves, an empty packet of glucoden, scissors with powder residue on the blades and a diary with a list of 34 names and numerals written beside them. $8,000 was found in the applicant's trouser pocket. Also found was a toiletries bag containing various implements for drug use and a small quantity of powder. Not surprisingly, the sentencing judge was satisfied that the offender was involved in trafficking in drugs to a very substantial degree. He was 30 years old at the time of sentence, with an unremarkable background. He was a chronically addicted to cocaine and was suffering from a mild drug induced psychosis at the time of offending. The sentencing judge concluded that the offender was genuinely remorseful and contrite with good prospects of rehabilitation. He accepted a causal link between the offender's psychiatric state at the time of the commission of offences and his offending by reason of his drug addiction, concluding that the level of objective seriousness was below mid range, although close to it. The sentencing judge discounted the sentence by 35% to take into account not only the utilitarian value of the plea of guilty but also the subjective features including prospects of rehabilitation and the like. The ratio of the non-parole period to the total term was 82%. The offender's appeal was dismissed except that the non-parole period was corrected to comply with the statutory ratio.
49In R v Achurch [2011] NSWCCA 186 the offender was convicted following a trial of one count of supplying MDMA, one count of supplying a commercial quantity of MDMA and one count of supplying a large commercial quantity of methylamphetamine (2.6 kilograms). The Crown appealed against the inadequacy of the sentence of 14 years imprisonment with a non-parole period of six years. The first count arose from the supply of 400 pills by the offender to co-offenders who on-supplied them to an undercover police officer for $4,600. A further seven pills were given to the officer as a sample of an available much larger quantity. The offender was implicated in the large commercial supply of prohibited drugs in subsequently intercepted telephone conversations with one of his runners. Ultimately search warrants were executed at a number of relevant addresses including that of the offender which disclosed amongst other things a notebook recording amounts of moneys (amounts up to $130,000) and drugs, naming two runners. In the premises previously occupied by the offender and then by one of his runners, plastic bags containing 2.6 kg of methylamphetamine was found. The offender was 47 years of age at the time of the offences with a prior criminal history for stealing, assault occasioning actual bodily harm, receiving, armed robbery, goods in custody, possession of a prohibited weapon and possession of a prohibited drug. The offender suffered from insulin dependent diabetes with serious medical complications including chronic kidney disease, congestive heart failure and other associated illnesses. In a medical report of June 2010 it was anticipated that "within the next few years the offender would require dialysis treatment for his chronic kidney condition". The report concluded that it was "therefore reasonably likely that prolonged incarceration will significantly reduce his life expectancy although due to the number of variables it is not possible to quantify this." The offender was found to be a principal in the drug supplies. In upholding the Crown appeal, the Court stated that, because the offender had been convicted after trial the standard non-parole period "had direct application by force of statute, and not merely as a guidepost upon sentence following a plea of guilty" citing R v Way [2004] NSWCCA 131; 60 NSWLR 168. (This proposition must now be regarded as incorrect having regard to Muldrock v R [2011] HCA 39.) The Court added that it was necessary "to specify where the offences lie on the range of objective seriousness for those crimes", citing R v Sellars [2010] NSWCCA 133 and R v McEvoy [1997] Crim LR 887. (Again, this must be regarded as an incorrect view in light of Muldrock.) The Court also held that the sentencing judge gave excessive weight to the offender's medical condition. So far as the fourth count is concerned the Court held that it was properly characterised as lying in the middle of the range of objective seriousness but that the offender's subjective factors, principally his medical condition, should be "taken into account to mitigate penalty" and a sentence of 16 years with a non-parole period of 12 years was imposed. Although this was adjusted having regard to accumulation of the sentences for the other offences resulting in a total effective term of 18 years imprisonment with a non-parole period of 13 years.
50These cases were decided (though not all expressly so) in light of the principles expressed in Way, which, in Muldrock, the High Court held to be wrong (in particular) with respect to giving the standard non-parole period an inappropriate significance. The resulting sentences must therefore be treated with more than usual caution. That is not to say, however, that they do not shed some light on the assessment of a sentence in cases of this kind.
Conclusion
51The respondent was a principal in a syndicate of drug supply, supplying on nine different occasions over a three month period significant quantities of methylamphetamine amounting in all to 1.615 kilograms. The purity of the 261.6 grams of methylamphetamine actually confiscated on the last of these occasions is much higher than that found in the street supplies so that the ultimate ongoing distribution would certainly have involved a much larger number of criminal transactions. At the same time, as the sentencing judge found, this was not a particularly sophisticated operation. It is not possible to do more than speculate on the financial return either obtained or expected by the respondent, but it must have been substantial involving at least, in total something over $450,000 although plainly the respondent did not receive all of this money, most of which was no doubt used to buy more methylamphetamine for on-supply. Although the respondent was a drug addict whose gambling addiction had given rise to debts which he was unable to satisfy by lawful means, these considerations cannot be regarded as mitigating. He was otherwise a hard worker, well regarded by his employers and others and a good father to his son. His remorse and contrition should be regarded as genuine and the conclusion of the sentencing judge that his prospects for rehabilitation are reasonably good, depending on his being able to control his gambling and drug addiction, should be accepted. The starting point for the respondent's sentence before applying the discount of 35% was 10 years with a non-parole period of seven years and six months. Taking into account the maximum term prescribed and the standard non-parole period, it seems to me, that whilst the circumstances, both objective and subjective, would justify a starting point significantly higher than that selected by the sentencing judge, I am unpersuaded that the sentence was manifestly inadequate and reflective of latent error. Nor, to my mind, does the sentence which results from the application of the discount of 35% amount to an unreasonably disproportionate sentence having regard to all the relevant facts and circumstances.
52It should be noted that the respondent's co-offender's Paeu and Martin were sentenced to only three years with a non-parole period of two years following a 25% discount for their pleas but they were charged with significantly less serious offences, the former with supplying not less than the commercial quantity, namely 261.6 grams of methylamphetamine and the latter of supplying an indictable quantity on the namely 194.8 grams of the drugs and both were couriers although Martin not merely so. Taylor was charged with supplying not less than the commercial quantity, 765.4 grams of methylamphetamine and was sentenced to four years and six months with a non-parole period of three years having played the role of the middle man but again his offence was less serious and his role somewhat less than the respondent. Pham's role was held to be both significant and pivotal since she supplied the drugs but, so far as the syndicate was concerned, her role was somewhat less than the respondent's. She was sentenced for supplying not less than a commercial quantity (849.9 grams) of methylamphetamine (a lesser offence than that for which the respondent was convicted) to a total term of six years with a non-parole period of three years (this substantial adjustment to the statutory ratio resulted from "very special circumstances") following a 25% discount for her plea of guilty. The starting points respectively for these co-offenders were sentences of imprisonment for four years for Paeu and Martina, six years for Taylor and eight years for Pham. Accepting their involvement in the syndicate's operation was significantly less than that of the respondent and that they were charged with offences of less seriousness, it seems to me nevertheless, that considerations of parity would prevent a substantial increase in the respondent's sentence. Accordingly, even if the sentence imposed on the respondent were manifestly inadequate, the extent of increase in his sentence which would avoid inappropriate disparity with the sentences passed on his co-offenders would amount, in my view, to tinkering. Accordingly, I would dismiss the appeal.
53Taking up the discussion by Johnson J of the question of parity, if I may respectfully do so, I would point out that I do not suggest that the sentences passed on the respondent's accomplices prevent his being resentenced. I merely indicated that parity is a material factor to be taken into account if he were to be resentenced and, accepting of course the need to take account of differentiating factors, would have some limiting effect on any substituted sentence: see, for example, Green v The Queen; Quinn v The Queen [2011] HCA 49 per French CJ, Crennan and Kiefel JJ at [2], where their Honours refer to the relevance to the exercise of the "residual discretion" to dismiss a Crown appeal against sentence of "consequential disparity relative to an unchallenged sentence imposed on a co-offender".
54JOHNSON J: I have had the advantage of reading, in draft, the judgments of Basten JA and Adams J.
55This judgment expresses my own conclusions on the appeal.
56The facts of the Respondent's offence appear in the judgment of Adams J. I will refer to certain additional features in this judgment.