8 March 2013 - Sentencing hearing commences
21On 8 March 2013 the hearing on sentence commenced before Arnott DCJ. A pre-sentence report assessed the applicant as unsuitable for a community service order due to a previous conviction in 1992 for two counts of indecent assault.
22The Crown's written submissions contended that the only appropriate sentence was a custodial sentence. Reference was made to the need for general deterrence and statements in this Court that frauds against the Social Security system should result in a custodial sentence being imposed unless there existed "very special circumstances" justifying some lesser sentence: see, for example, R v Purdon (NSWCCA 27 March 1997, unreported, BC9700950 at 7 per Hunt CJ at CL (McInerney J and Donovan AJ agreeing)).
23The Crown submitted that the two offences related to the same continuing conduct and that any sentence imposed should be accumulated.
24The Crown's submissions included a schedule of comparative decisions which it said may provide some guidance as to the general range of sentences imposed in cases of social security fraud similar to this one.
25The applicant's written submissions conceded that a sentence of imprisonment was appropriate in the circumstances, so long as the Court was satisfied that no other alternative to full-time imprisonment was appropriate before imposing such a sentence: s 17A(1) Crimes Act 1914 (Cth).
26The applicant's case on sentence was that "special circumstances" existed that would justify the imposition of an alternative to full-time custody under State sentencing provisions, such as an intensive correction order (ICO). (This was available to Commonwealth offenders by virtue of s 20AB of the Crimes Act: see R v Winchester (1992) 58 A Crim R 345 at 348.) Alternatively, it was submitted that "the Court would find special circumstances or reasons to vary the usual ratio or to fix the non-parole period at the lowest end of the ordinary range (being 60%)" (AB 99).
27The features of the applicant's case which were said to justify special circumstances included: the early guilty plea; the delay in the commencement of the proceedings against him; the applicant's asserted prospects for rehabilitation as assessed by the psychologist, Mr Borenstein; and the fact of the applicant's pathological gambling addiction at the time of the offences (said to amount to "illness or disability on the part of the offender") (AB 99).
28At the commencement of the sentencing hearing the applicant's solicitor stated that he would be asking for an ICO or home detention (AB 6, lines 19-20). The applicant's solicitor drew attention to the concession in the Crown's written submissions that each offence was part of one course of criminal conduct for the purpose of totality of the sentence (AB 6, lines 39-45).
29The applicant gave evidence and was cross-examined. The solicitor appearing for the Crown made oral submissions.
30The Crown repeated its written submission that a custodial sentence was the appropriate sentence. In response to a question by his Honour, the Crown submitted that R v Ivanovic (Ivanovic) [2009] NSWCCA 28 was the closest of the comparative cases.
31In Ivanovic the overpayment of Centrelink benefits amounted to approximately $50,000 over 4 years and 7 months. Mr Ivanovic was aged 62 at the time of sentence, had a prior criminal record, and had pleaded guilty to three offences of dishonestly causing a loss to the Commonwealth contrary to s 135.1(5) of the Criminal Code and four offences of imposing on the Commonwealth by an unfair representation contrary to s 29B of the Crimes Act. He was sentenced to 9 months imprisonment on each of the s 29B Crimes Act offences and 2 years imprisonment for the Criminal Code offences. It seems from the reasons of this Court (at [2]) that although the sentencing judge may have intended to accumulate the sentences (because the starting date of the sentence for the Criminal Code offences was deferred by 9 months), in fact the sentences were made concurrent as the total effective term was 2 years with the offender to be released after 12 months upon entering a recognisance to be of good behaviour for the remaining 12 months. This Court dismissed an appeal against sentence.
32The Crown submitted that there were "no very special circumstances in this particular case to render the sentence less than the comparatives" (AB 19, lines 33-35).
33The applicant's solicitor then made oral submissions. He conceded that the case of Ivanovic was "very similar to the current amount" (AB 20, lines 2-3). He submitted however that it was a more serious case.
34Consistently with the applicant's written submissions, the applicant's solicitor submitted that the sentencing judge should find special circumstances and increase the parole period so that the applicant could be rehabilitated. He also asked his Honour to consider an ICO (AB 21, lines 24-29).
35The transcript then records (AB 21, line 32-22, line 38) an exchange between the sentencing judge and the parties as follows:
"HIS HONOUR: You say that the case of Ivanovic is a more serious case?
SINGH: Yes, your Honour. It involved more charges. It involved the fact that that person was not employed at the time. In my submission this is not a matter where Mr Thomson has committed this offence out of agreed [sic]. It is a matter that was motivated by need.
HIS HONOUR: The penalty in Ivanovic was two years imprisonment, is that right?
SINGH: Yes, your Honour.
HIS HONOUR: What is the legislation say with respect to ICOs?
SINGH: The overall sentence must be two years or less in order for him to be eligible for an ICO.
HIS HONOUR: I have got to come to that decision first?
SINGH: Yes, your Honour.
HIS HONOUR: But it would seem, on a cursory look at this, that it would appear to be a term of imprisonment, if a term of imprisonment was imposed of two years or less. Therefore if I were to order an ICO report now and came to the view that this case, looking at all the facts, warranted, nonetheless, a full-time term of imprisonment, I would not be in error in ordering an ICO now?
KHOURI: Your Honour is in a position to order the report now - -
HIS HONOUR: But I can change my mind?
KHOURI: Yes, even if he is found to be suitable for an ICO, your Honour can change your mind.
SINGH: Yes, I believe that is correct.
HIS HONOUR: I am inclined to order an ICO assessment.
KHOURI: Could I hand to your Honour the legislation?
HIS HONOUR: Yes, please, (Document handed to his Honour).
KHOURI: The relevant section is section 67, your Honour; your Honour can decline to make an ICO, even if he is suitable.
HIS HONOUR: Yes, as I say, sub-section 3 says, (Read). I am inclined to -and I am thinking out aloud here - to order an ICO assessment and to place the matter back before me in two weeks time for sentence. All the range of sentencing options are still available to me in two weeks time, but at that stage I will have the benefit of an ICO assessment.
KHOURI: In a way it is similar to a PSR.
HIS HONOUR: Is two weeks enough time for an assessment to take place?
SINGH: I think it requires about six weeks, your Honour.
HIS HONOUR: I think I will put it back before me in two months time. ...".
36The sentencing judge proceeded to convict the applicant and made an order referring him to the Commissioner of Corrective Services for assessment for suitability and eligibility for an ICO. The proceedings were adjourned to 10 May 2013 for further hearing.