Media release: NSW (Phung) – Bankrupt found guilty of an offence under the Bankruptcy Act

Dr Van Thien Phung, of Potts Point, New South Wales, lodged an appeal after being convicted and sentenced for removing property within 12 months of going bankrupt.

He relied on a defence that he gambled money without intent to defraud any of his creditors.

Dr Phung filed for voluntary bankruptcy in September 2013 with debts of over $1 million.  

Prior to his bankruptcy, Dr Phung received proceeds of over $138,000 from the sale of property in Croydon Park, NSW.

Dr Phung withdrew $126,700 in cash within the 12 months prior to his bankruptcy, and claimed he ‘lost the lot’ on gambling.

He pleaded not guilty.

Magistrate Williams found him guilty on 11 November 2016, and sentenced him to 5 months imprisonment, to be released on a 12 month good behaviour bond upon giving security.

On 15 June 2017, District Court Judge Tupman accepted that Dr Phung gambled some of the money but concluded that he had failed to establish his defence.

Judge Tupman confirmed the conviction and released Dr Phung without passing sentence on a $500 good behaviour bond for 12 months.

The case was prosecuted by the Office of the Commonwealth Director of Public Prosecutions on behalf of the Australian Financial Security Authority.