Christopher Michael Brown of Western Australia was convicted this week and sentenced to 6 months’ imprisonment, to be released on a recognisance release order in the amount of $5,000 to be of good behaviour for 6 months.
The sentencing comes after Mr Brown pleaded guilty to one count of intentionally making a false statement in an affidavit used for the purposes of the Bankruptcy Act 1966 (Bankruptcy Act).
The charge against Mr Brown was the result of an AFSA investigation into Mr Brown in relation to falsely stating, in a sworn affidavit, to have sufficient funds in his account to cover all his debts. The affidavit included an annexure indicating Mr Brown had a cash balance over approximately $172 million with the National Australia Bank (NAB), which he knew to be false.
It is an offence under section 263A of the Bankruptcy Act to make a false statement in an affidavit to be used for the purposes of the Bankruptcy Act.
Mr Brown became bankrupt by sequestration order on 10 May 2021, triggered by his grandparents as the petitioning creditors, who were owed $82,050.
AFSA is committed to protecting Australia’s $3.5 trillion credit system through its regulation of the personal insolvency system. Where AFSA investigations confirm there is system misuse, harm and criminal behaviour those cases are referred to the Commonwealth Director of Public Prosecutions.
Tim Beresford, Chief Executive of AFSA and Inspector General in Bankruptcy, said: “AFSA will not tolerate any illegitimate and illegal actions that jeopardise the integrity of Australia’s credit system.”
Neville Matthew, National Manager Education Surveillance and Enforcement at AFSA, said:
“Where people deliberately try to undermine the system, like Mr Brown was found to have, the Inspector-General will act swiftly and decisively.
“AFSA will continue to exercise its powers in response to deliberate misuse and harm, taking legal action and seeking penalties when needed.”
Background:
Mr Christopher Michael Brown received the following sentence:
Count 1:
Intentionally making a false statement in an affidavit to be used for the purposes of the Bankruptcy Act 1966 (Cth) contrary to section 263A of the Bankruptcy Act.
Sentence: 6 months imprisonment, to be released forthwith on a recognisance release order in the amount of $5,000.00 to be of good behaviour for 6 months.
