Real estate agent Theodore Penemenos has drug possession charge dismissed on mental health grounds

A Sydney real estate agent who was discovered hiding cocaine in his underpants while in police custody has had his matter dismissed on mental health grounds. Here’s the latest.

Real estate agent Theodore Penemenos, 31. Picture: Facebook

A Sydney real estate agent who was busted hiding cocaine in his underpants while in police custody has won his bid to have the matters dismissed on mental health grounds.

Bondi Junction man Theodore Penemenos, 31, pleaded guilty in Bankstown Local Court on June 5 to possessing drugs and possessing suspected stolen goods.

However in court on Friday, Magistrate Glen Walsh accepted his application to have the charges dismissed on mental health grounds, stating medical reports indicated “he has been clean” and was in the “process of rehabilitation”.

Documents tendered to the court state at 1am on May 14, 2024, police were called to a home in Padstow Heights after receiving reports of a man outside.

Officers found Penemenos with a woman’s passport and he couldn’t explain why he had it in his possession.

Theodore Penemenos leaving Bankstown Local Court on Thursday July 24 2025. Picture: Tileah Dobson

Documents state he was in breach of earlier bail conditions and Penemenos was taken into custody at Bankstown Police Station.

He spent the night in custody and in the morning was spotted fidgeting in his cell, at one point standing up and putting his back to the CCTV cameras and putting one leg on the seat in front of him.

Real estate agent Theodore Penemenos, 31, was charged with possessing cocaine and possessing property suspected of being stolen. Picture: Facebook

Penemenos appeared to be fiddling with his “groin and upper leg area” while repeatedly looking over his shoulder.

When questioned by police, Penemenos replied that he was “playing with his penis”.

After a search by police, officers found a small sealable bag containing 9.4g of cocaine, with Penemenos later taken to Bankstown Hospital after punching the perspex screen with his left hand several times.

In court on Friday, Penemenos’s lawyer applied for a section 14 mental health application on her client’s behalf, pointing out he’d been getting clean and treatment for his mental health issues.

The matter was heard in the Bankstown Local Court.

“He’s spent seven weeks at St John of God in (North) Richmond and there has been no further offending since,” she said.

“He’s been reporting to Waverley Police without fail and has been subject to a 9pm curfew.”

She also said her client had been “dealing with his demons” and has continued to seek treatment for his ADHD and PTSD.

“The court would be better served in the community in assisting in his treatment into the future, which would be more structured in those hands rather than in the hands of community corrections,” she said.

Mr Walsh said he agreed saying: “I accept wholeheartedly the diagnosis … and the treatment plan.”

Mr Walsh told Penemenos to keep up with his treatment and warned him not to reoffend or else he’d face the court again.

“You must not commit an offence and you must follow your treatment,” he said.