33 The "mitigating factors" identified in support of ground 7, and their paragraph numbers in s21A(3), were:
"(a) There was no substantial loss or damage as a result of the offence. It was always going to be detected and frustrated and no drugs flowed into the community;
(b) The offender does not have any record of previous convictions;
(f) Prior to the offence the Applicant was a person of good character;
(h) The Applicant had good prospects of rehabilitation (and was already taking voluntary steps towards rehabilitation);
(i) The Applicant had shown remorse; and
(k) The Applicant pleaded guilty shortly after the Crown indicated a willingness to accept a plea to the lesser charges in the indictment.
34 The extent of repetition of ground 7 with grounds 1, 3, 4 and 5 is obvious and these grounds may conveniently be considered together.
35 His Honour did in fact refer on more than one occasion to the fact that the Applicant had no record of previous convictions. Although not referring specifically to the Applicant, his Honour also observed that "prior good character, lack of criminal record and established history of employment are of less significance in crimes involving drugs than in other fields of crime". There were also of course the references to the Applicant's pleas in the terms I have quoted above. However, otherwise all his Honour said concerning the Applicant's subjective case was as follows:-
"The offender's circumstances are recorded in a pre-sentence report dated 10 November 2006. The offender's counsel has informed me today that there has been no significant change in that his client has not re-offended and has maintained his employment.
There is no doubt that the offender had a traumatic family upbringing and experienced difficult challenges in life from an early age. He was born in Vietnam and experienced some difficulties as a result of the conflict between China and Vietnam. He had one unsuccessful marriage which led to significant financial pressures. He suffered a treatable depression, developed an addiction to gambling and that appears to have been associated with his offending behaviour. He has addressed those issues. There is an issue at the moment as to the insight he has as to his offending behaviour and impact that dealing in trucks (sic) has on the wider community. Nevertheless, it is important that he have supervision to resolve those issues and to continue to address the gambling concerns. I find special circumstances and make an adjustment between the non-parole period that otherwise would be imposed."
36 In addition to the matters mentioned in this passage, the Pre-Sentence Report referred to the fact that, since being admitted to bail, the Applicant had been working at 2 jobs and had a $3,400 monthly mortgage; that he had attended 2 appointments with a gambling counsellor and more had been arranged; that the Applicant had signed a contract prohibiting him from entering clubs and casinos; and that the gambling counsellor opined that the Applicant needed further intervention. The author of the report said that it was "concerning that (the Applicant) lacked insight into his offending behaviour and the impact that the evils of drugs have on the wider community".
37 The Pre-Sentence Report also said that in consequence of stress arising from the break-up of the Applicant's first marriage and his first wife's financial demands, the Applicant "was spending a lot of time socialising with friends, drinking and gambling. At this point in his life he got in trouble with the law and was imprisoned for a period of 5 months". It is recorded that he received moral support from his second wife with whom he has an excellent relationship and both they and their 2 children lived in a family home which had been the Applicant's residence for 10 years. Otherwise the report contained nothing of possible present consequence.
38 The Applicant did not give evidence but executed a statutory declaration that was placed before Taylor DCJ attesting to impressive efforts in adjusting to life in Australia and to his work ethic prior to the break-up of his first marriage. It contains little more than details of matters to which reference has already been made except to indicate that the 5 months imprisonment of which the author of the Pre-Sentence Report spoke would seem to have been the period between the Applicant's arrest and his admission to bail, that his current wife had visited him in gaol during that period, and that his second marriage occurred in March 2005. The statutory declaration also asserted that the Applicant had learned the lesson of his life and since his arrest had tried very hard to rebuild his life.
39 Other documents showed that the Applicant's mortgage debt to the bank was, in October 2005, of the order of $560,000, that the interest of the Plaintiff in his house property had, pursuant to the Criminal Assets Recovery Act, vested in the Crown, and that he was regarded by the 2 employers for whom he worked since April and July 2006 as a good employee and trying to put his life back together. A letter from the Applicant's gambling counsellor and on the letterhead of the "Vietnamese Community in Australia - New South Wales Chapter Inc" disclosed that after the date of the pre-sentence report, the Applicant had continued to attend gambling counselling, had acknowledged that his gambling problem was morally wrong and was "very remorseful about his wrong doing in the past and is willing to change his ways".
40 A letter from a Buddist monk also recorded involvement with the Applicant and that the latter had expressed his regret and determination to start up his life again. Another letter, signed by some 8 people, referred to the Applicant's work ethic, remorse, and "good heart to friends and family".
41 In light of this material, his Honour's remarks concerning the Applicant's subjective circumstances were unduly cryptic and do demonstrate an inadequate compliance with the mandatory requirements of s21A that the matters referred to and enumerated in support of ground 7 be taken into account. Thus some of the complaints the subject of these grounds of appeal are made out.
42 Because of the impact that these matters may have on the issues posed for this Court by the ninth ground of appeal, s6(3) of the Criminal Appeal Act and any re-sentencing that may be required, it becomes necessary that I further address them.
43 That there was no substantial loss or damage as a result of the offences is clearly established. This does not of course diminish the Applicant's criminality and although it is calculated to reduce the demands of retribution, it does not impact on the weight to be given to most of the purposes of sentencing. The Applicant's prior good character and lack of criminal history were matters to be taken into account on sentencing although, given the deliberate and planned criminality involved in his offences, their weight was significantly less than if the Applicant's offending had been much more spur-of-the-moment or spontaneous. Of course, his prior character was clearly relevant to his prospects of rehabilitation.
44 The fact that the Applicant did not give evidence was calculated to weaken his claim to be remorseful. A fortiori was this so in light of the remarks in the pre-sentence report to the effect that it was "concerning that (the Applicant) lacked insight into his offending behaviour and the impact that the evils of drugs have on the wider community". Given that his pleas of guilty were clearly part of a "deal" with the Crown to drop the more serious charges of supplying commercial quantities, it is not possible to draw positive inferences of remorse from them. As Dixon CJ said in Holloway v McFeeters (1956) 94 CLR 470 at 477. "(An) inference may be made only as the most probable deduction from the established facts ... " (my emphasis). Here naked self-interest was at the very least as likely an explanation for the Applicant's pleas as remorse and, particularly given the timing of events, in my view the more probable explanation.
45 On the other hand, the references by a number of others to the Applicant's remorse cannot be ignored. Those references were not the subject of challenge. There was no positive evidence of lack of remorse and the evidence did indicate that, since being admitted to bail, the Applicant had taken substantial steps to get his life back into order. In my view a finding that the Applicant was remorseful should have been made by his Honour and should be made by this Court. For similar reasons, and because of the Applicant's second marriage and its circumstances and because of his demonstrated willingness to work, there should be a finding that he has good prospects of rehabilitation.
46 Other matters to which specific attention was directed in the course of the Applicant's submissions were the Applicant's loss of direction in life as a result of the financial pressures following on his divorce, his gambling that also ensued and the loss of his house and the moneys found on him at the time of his arrest pursuant to the Criminal Assets Recovery Act or similar legislation. When regard is had to his Honour's remarks that I have quoted, it is not apparent that his Honour did not give to the first 2 of these the weight they deserved. So far as the Applicant's gambling is concerned, it must also be remembered that in R v Henry (1999) 46 NSWLR 346 at [203], the Chief Justice, in whose remarks in this regard a majority of the Court agreed, rejected gambling as a mitigating circumstance.
47 Other than in exceptional cases, this Court has taken a similar view in relation to forfeiture of assets pursuant to the Criminal Assets Recovery Act - see R v Kalache [2000] NSWCCA 2 at 77. Here although the Applicant's house was seized by the Crime Commission but, according to the Applicant's counsel's submissions, it was given back when it was realized that there was little or no equity in it. Otherwise, the only property seized seems to have been the moneys found during police searches of the Applicant or his premises. As it seems highly probable that these were either the proceeds of his offending or moneys used in that connection, they certainly do not bring the case within the exceptional category to which reference was made in R v Kalache.