Goulding v Penello

The Supreme Court of Western Australia heard a case brought by the delegate of the Chief Executive Officer of Customs against Lorenzo Penello and Redpawn Pty Ltd for breaches of the Customs Act 1901. The case involved the importation of cycling shoes from France on ten separate occasions between March 1994 and March 1995. The shoes were imported without cleats, but Penello claimed they were exempt from duty under a tariff concession order for shoes fitted with cleats. Penello obtained refunds for the first four shipments and avoided duty for the remaining six shipments by providing samples of shoes with cleats, which were not the same as those imported. The charges against Penello included smuggling, evading duty, obtaining non-payable refunds, and making false or misleading statements. The central legal issues were whether Penello should be convicted of evading duty, whether the court should apply certain sections of the Crimes Act 1914 in relation to the penalties, and the appropriate penalties to be imposed considering the multiple charges. The court held that Penello should be convicted of evading duty, that the sections of the Crimes Act were not applicable, and that the appropriate penalties should be calculated based on the minimum penalties specified in the Customs Act. The court imposed penalties totalling $333,886.94, plus interest on the unpaid duty.