Director of Public Prosecutions v Appadoo

[2015] VCC 227

IN THE COUNTY COURT OF VICTORIA Revised
Not Restricted
Suitable for Publication

AT MELBOURNE
CRIMINAL JURISDICTION

CR 14-01910

DIRECTOR OF PUBLIC PROSECUTIONS

v

JAMES APPADOO

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JUDGE:	HIS HONOUR JUDGE GRANT
WHERE HELD:	Melbourne
DATE OF HEARING:
DATE OF SENTENCE:	27 February 2015
CASE MAY BE CITED AS:	DPP v APPADOO
MEDIUM NEUTRAL CITATION:	[2015] VCC 227

REASONS FOR SENTENCE
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APPEARANCES:	Counsel	Solicitors
For the Director of Public Prosecutions	Mr S Ballek	OPP
For the Accused	Ms A Kapitaniak	Doogue O’Brien George

HIS HONOUR:

1Mr Appadoo, you have pleaded guilty to one count of theft.  The offence has a maximum penalty of ten years imprisonment.  The prosecution has provided a summary of the offending.  It is Exhibit A in these proceedings.  It is not my intention to repeat the whole of the summary.

2Briefly, in March 2014, you were working as a team leader in the settlements department of Linear Asset Management.  The company invests its clients' funds in areas such as securities, shares, trust funds and term deposits.  In order to invest a client's funds, a transfer authorisation document must be signed by at least two members of the company's board of directors. 

3On 12 March 2014, you fraudulently created an authorisation document to allow the transfer of $1 million dollars from a client's trust fund account into your personal Bank of Melbourne account.  You created the false authorisation document by using other documents to copy and paste the signatures of two board members.  You then emailed that document to Sandhurst Trustees Limited, requesting the transfer.  The money was transferred into your personal account on the same day.

4Between 13 March 2014 and 28 March 2014, you withdrew amounts totalling $863,385.76 from the Bank of Melbourne account.  You continued to withdraw various amounts from the account over the next few months.  On 26 June, you left for an overseas holiday, apparently this was paid for in 2013, before you stole the money that is the subject of this charge.

5The theft was detected on 24 June 2014 and reported to the police three days later.  You were arrested at Melbourne Airport upon your return from the holiday.  You made full admissions to the police.  You said you committed the offence because you had a lot of debt.  You owed about 25 people a total of $700,000 and you used some of the money to pay them.

6You incurred the debts because of a gambling addiction.  The balance of the money stolen was gambled away.  You have not repaid any of the money.  You told Mr Watson-Munroe, a consultant forensic psychologist that your gambling problems commenced approximately three years ago, when you experienced a large win while playing poker machines with some friends.

7Within 12 months you were gambling daily on poker machines and Tatts Lotto.  In order to support this level of gambling, you borrowed heavily from friends and family.  You came under increasing pressure to repay your debts.  In these circumstances, you decided to steal from your employer to enable your creditors to be paid and to provide you with funds to continue your gambling.

8Your counsel quite properly did not seek to rely on the Verdins principles as reducing your culpability.  Mr Appadoo, your gambling addiction provided a motive and an explanation for the commission of the offence, but it did not impair your judgment.  You were in a position of trust and you decided to abuse that trust.  You were determined to steal a large amount of money from your employer to achieve two purposes.  First, to repay those you owed money to and secondly, to provide you with funds to continue gambling.

9Acting on those purposes, you created a false document that was sophisticated enough to enable you to steal $1 million dollars from your employer.  You used the money in the way you intended.  This was considered, calculated and devious behaviour.  You have committed a very serious offence.  In this case, deterrence and denunciation are highly relevant sentencing considerations.

10In determining the appropriate sentence, I must of course take account of the matters in mitigation and the matters relevant to rehabilitation.  I will discuss these matters now.  In relation to the offence itself, I accept that although the method of obtaining the money was skilfully executed, transferring the money into your own account showed a lack of sophistication.  It would eventually lead to your detection.

11You made full admissions upon detection and entered an early plea of guilty.  I am satisfied that you are now remorseful.  Your plea of guilty also has utilitarian benefit.  It has avoided the cost and expense associated with a criminal trial and saved the victims from the trauma associated with giving evidence.

12You are a 53 year old married man without prior criminal convictions.  You were born in Mauritius.  You come from a loving and caring family.  Your father was a police officer and your mother a teacher.  You were well educated and after leaving school, obtained work as an auditor.  You have worked all your adult life in the finance industry.  You married in 1987 and you and your wife migrated to Australia in 1988.  You have one daughter who is now an adult.  You have always been in good employment and you have successfully completed an NBA.  You are well regarded in your local community.

13Your counsel submitted that you are a good prospect for rehabilitation, I am sure that you are.  It is unlikely that you will offend again.  Of course, it is also highly unlikely that you will ever again be in a position where you could abuse the trust of others.

14Mr Appadoo, in respect of your prior good conduct and your prospects of rehabilitation, you are no different to the great majority of what are called white collar criminals.  Obviously, prior good conduct and good prospects for rehabilitation must be given appropriate weight.  However, they must be appropriately balanced against the weight to be given to the principles of general deterrence, denunciation and just punishment.

15I accept that you are now suffering from depression and your sentence should be moderated for that reason.  Your counsel submitted that it would be appropriate to impose a term of imprisonment, coupled with a community corrections order.  I am unable to agree.

16The offending in this case is too grave to permit such a course.  The amount of money involved is large.  There is a significant breach of trust.  You acted in a considered and devious manner and no funds have been repaid.

17In this case, the sentencing purposes of deterrence and denunciation loom large.  The offending requires the imposition of an appropriate term of imprisonment.  Mr Appadoo will you please stand.  Mr Appadoo, you are convicted and sentenced to a period of three years and six months imprisonment.  I fix a minimum term of two years, before you will be eligible for release on parole.

18Had you pleaded not guilty and been found guilty after trial, I would have sentenced you to a term of five years, with a minimum of three years and six months.  I order you pay $75,000 compensation to Linear Asset Management Limited.  I also order that you undergo a forensic procedure for the taking of a scraping from your mouth.  If you fail to co-operate in the taking of the sample, the authorities may use reasonable force to obtain it.

19I make the order for the following reasons.  The seriousness of the offending, the order is in the public interest and the order is consented to.  You can be seated there.  Are there any other matters?

20MR BALLEK:  No, Your Honour.

21HIS HONOUR:  Yes, thank you, the prisoner can be removed.

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