R v Daniels - [2020] NZHC 275

IN THE HIGH COURT OF NEW ZEALAND AUCKLAND REGISTRY

I TE KŌTI MATUA O AOTEAROA TĀMAKI MAKAURAU ROHE

CRI 2019-004-003382

CRI 2019-004-003544

[2020] NZHC 275

THE QUEEN

v

TYSON TEREI DANIELS & ANDREW NEILL SIMPSON

Hearing: 25 February 2020

Appearances:

D J Johnstone for the Crown

M J Dyhrberg QC & H G de Groot for Mr Daniels G J S R Foley & S R Zydervelt for Mr Simpson

Judgment:

25 February 2020

SENTENCING NOTES OF VAN BOHEMEN J

Solicitors/Counsel:
Crown Solicitor, Meredith Connell, Auckland M J Dyhrberg QC, Auckland
Matai Chambers Ltd, Auckland Guyon Foley Barrister, Auckland

R v DANIELS & SIMPSON [2020] NZHC 275 [25 February 2020]

[1] Mr Daniels and Mr Simpson, you may remain seated. I will tell you when you need to stand. I am going to begin by discussing some background common to you both and make some remarks about the offending that is common to you both. I will then deal with you Mr Daniels and then with Mr Simpson. When I have dealt with you, Mr Daniels, you may stand down when I tell you to.

[2] Tyson Terei Daniels and Andrew Neill Simpson, you appear for sentence today for serious money laundering offending relating to the importation and supply of class A and B drugs.

[3] Mr Daniels, you pleaded guilty on 27 November 2019 to 9 charges of money laundering,1 each having a maximum penalty of seven years’ imprisonment, and one charge of participating in an organised criminal group,2 having a maximum penalty of 10 years’ imprisonment.

[4] Mr Simpson, you pleaded guilty on 27 November 2019 to 13 charges of money laundering, each having a maximum penalty of seven years’ imprisonment.3

Circumstances of the offending

[5] In early 2018, the Police instituted Operation Nova, an investigation into the importation and supply of controlled drugs and associated money laundering. The investigation centred around members and associates of the New Zealand chapter of the Comanchero motorcycle gang, an organised criminal group. You were both eventually arrested along with seven other co-accused who will go to trial in September.

[6] The Police investigation uncovered a sophisticated operation that used encrypted communication devices to avoid police surveillance. Members of the group arranged drug deals and drug importations to generate significant amounts of money for the Comancheros. This money was deposited into structured trust accounts, usually in amounts of less than $10,000 at a time at various bank branches in an effort

1      Crimes Act 1961, s 243(2).
2      Crimes Act 1961, s 98A.
3      Crimes Act 1961, s 243(2)

to disguise their origin and to avoid raising suspicion. To further avoid detection, the money was also channelled through associated companies such as Heavy Heavy Ltd, which provided an apparently legitimate source of income for Mr Daniels and others in the group and was also used to launder funds derived from criminal activity.

[7] Both you, Mr Daniels and you, Mr Simpson, played a crucial role in this operation which laundered a…

Grounds of appeal

[14] The appellant contends that the primary judge erred in finding that the respondent had discharged the onus of establishing the matters required under the relevant provision.

[15] It was submitted that his Honour failed to give adequate weight to the evidence of the second witness, and that the findings of fact were not reasonably open on the material before the Court.

[16] The respondent, for its part, submits that no error is disclosed, and that the conclusions reached were well within the range of outcomes available to the primary judge.

Consideration

[17] It is convenient to deal first with the question of construction, as the resolution of that issue informs the remaining grounds advanced by the appellant.

[18] For the reasons that follow, we are of the view that the appeal should be allowed in part and the matter remitted for further determination.

Continue reading R v Daniels

Details

AGLC: R v Daniels [2020] NZHC 275
Case: [2020] NZHC 275
Decision Date: 25 February 2020

CaseChat Overview and Summary

Tyson Terei Daniels and Andrew Neill Simpson were sentenced for their roles in a money laundering operation linked to the importation and supply of controlled drugs by the New Zealand chapter of the Comanchero motorcycle gang. Daniels, the Vice President of the gang, oversaw the operation, while Simpson, a lawyer, facilitated the laundering scheme. The court had to determine the appropriate starting points and final sentences for each defendant, taking into account the gravity of the offending, their culpability, and personal circumstances.

The court established that Daniels' role as Vice President and his oversight of the operation made his culpability higher than that of other offenders in similar cases. The court also considered the sophistication of the operation, the length of time it lasted, and the amount of money involved. After weighing the arguments from the Crown and the defence, the court decided on a starting point of six years for Daniels. Considering Daniels' early guilty plea, the court reduced the sentence to four years and eight months' imprisonment.

For Simpson, the court found that he was reckless in continuing his involvement in the scheme despite his suspicions about the source of the funds. The court considered his personal circumstances, such as his lack of previous convictions, genuine remorse, and strong family support. The court decided on a starting point of four years and six months for Simpson. After applying discounts for his guilty plea and personal circumstances, the court sentenced Simpson to two years and nine months' imprisonment.

In conclusion, both Daniels and Simpson were sentenced to imprisonment for their involvement in the money laundering operation. Daniels received a sentence of four years and eight months, while Simpson was sentenced to two years and nine months. The court considered the gravity of the offending, the roles of the defendants, and their personal circumstances in determining the final sentences.

Orders