Mr Danny James Usher was sentenced at the Christie Beach Magistrates Court on 23 August 2017 for failing to fully and truthfully disclose information in relation to the sale of a property.
On 5 February 2014, Mr Usher sold a house on a large block of land to a property developer. Pursuant to the Contract of Sale:
- the developer would subdivide the land into 14 units
- the house portion would remain on the land and would be held on trust by the developer for Mr Usher until the subdivision had been completed.
Mr Usher became bankrupt by virtue of a Sequestration Order on 15 September 2014.
During this time, Mr Usher continued living in the house rent-free. Once a Plan of Division and a separate Certificate of Title for the house had been issued, the developer was to transfer ownership of the house back to Mr Usher at no cost.
In his Statement of Affairs form, Mr Usher failed to declare that he had sold a property. He also failed to respond to the trustee’s request for information in relation to the sale of the property and failed to disclose the details about who owned the property that he lived in and his relationship with the property’s owner.
Mr Usher was convicted and entered into a recognizance of $200 and 12 month good behaviour bond. He was also ordered to pay court costs of $260 and disbursement costs of $79.70 within 28 days, from 23 August 2017.
The trustee has since recovered the house portion and sold it for the benefit of the bankrupt estate.
The matter was prosecuted by the Commonwealth Director of Public Prosecutions on behalf of the Australian Financial Security Authority.