Childhood friends and neighbour among the alleged victims of Coffs property scam

A court has heard how a Coffs schoolteacher - the wife of an accused fraudster - spent proceeds from a property investment scam on credit card debt and luxuries.

The woman pleaded guilty to dealing with proceeds of suspected crime at Coffs Harbour Local Court. Photo Leigh Jensen / Coffs Coast Advocate

A court has heard how a Coffs Coast schoolteacher spent cash from an alleged property investment scam on personal luxuries including alcohol, a salon appointment and credit card debt.

April Harris, 45, pleaded guilty in Coffs Harbour Local Court to two charges of receiving and dealing with proceeds suspected to be from the fraudulent scheme. Police allege her husband was the “architect”of the scheme. It allegedly involved swindling money from the super funds of investors including family friends, who believed their money was only being used to invest in property.

Ms Harris was initially facing a large number of charges but these were withdrawn and dismissed following her guilty pleas. Her co-accused, Daniel Harris, is currently facing over 600 fraud-related charges, however his matter is currently at case conference and the charges are yet to be certified.

Court documents state that Mr Harris, a former real estate agent, allegedly set up a property development investment scheme back in 2008 in which Ms Harris was also a director.

According to the documents Mr Harris soon became bankrupt, and the company ceased. However, three new companies were later established and Ms Harris acted as a director for two.

The woman pleaded guilty to dealing with proceeds of suspected crime at Coffs Harbour Courthouse.

During the course of their marriage Ms Harris said she would sign documents at the request of her husband – on occasion not understanding what she was signing, the court documents state.

Mr Harris has been accused by police of drawing in a number of investors to the scheme, which included people known to the couple such as a school friend, neighbour and family friends.

It was allegedly represented to the investors that the money withdrawn from their self-managed super funds and placed in the company accounts would only be used to invest, purchase or develop property.

Court documents reveal detectives found the money received from the super funds were instead allegedly being used for personal purposes. It is alleged the accounts showed “little in way of actual investment activity.”

Ms Harris pleaded guilty to using funds to settle personal credit card debts. Payments to restaurants, a liquor shop, service stations, a jewellery shop and more were also listed in the court documents.

Detectives had begun investigating the fraud accusations in August of 2018 after receiving reports from investors that their super funds were being misappropriated.

Ms Harris and her co-accused were arrested in November that year after their Bonville home was raided by police, where a computer, mobile phones and business papers were seized.

Ms Harris will reappear in Coffs Harbour Local Court on June 16.