Central Coast accountant Peter Kelly paroled after 13-year sentence for killing Tamworth lotto winner Maria Lourdes Devrell

Central Coast accountant Peter Kelly made headlines in 2011 when he attacked a lottery winning client, bludgeoning her with a mallet and suffocating her to death over her ‘wasteful’ spending.

Peter Joseph Kelly being led into a prison van at the rear of the Supreme Court’s King Street building in 2012.

An accountant jailed for 13 years for attacking a $5 million lottery winner with a rubber mallet then suffocating her to death has been released on parole.

Peter Joseph Kelly, from Umina Beach on the Central Coast, had power of attorney over the lotto cash at the time he killed Maria Lourdes Devrell, known as Lou, at her Tamworth home in March 2011.

Kelly, who had known Mrs Devrell and her husband for 25 years, bashed Mrs Devrell with a rubber mallet covered with cling wrap, then covered her mouth with his hand to silence her during a fight over her “wasteful” spending.

She died from asphyxiation, an autopsy concluded.

Ms Devrell’s body was discovered in a pool of blood by her daughter several hours later.

Kelly subsequently pleaded guilty to a charge of murder, with the NSW Supreme Court sentencing him to 18 years’ jail, with a non-parole period of 13 years.

Kelly, then aged 54, pictured entering court in the custody of Corrective Services officers in 2012.

Ahead of the expiry of the non-parole period this month, the NSW State Parole Authority’s serious offenders review council indicated it supported Kelly’s release from custody on strict conditions - a move that was not opposed by the government.

In support of its recommendation, the council noted Kelly had been compliant with all directions when on day release from custody and weekend outings, and had completed several vocational courses behind bars.

They also said he had regularly been employed in the jail during his sentence and had not incurred any institutional offences.

Meanwhile, Community Corrections staff also supported Kelly’s release, saying he had completed a therapeutic program in custody and had been assessed as a low risk of reoffending.

The State Parole Authority last month agreed it was “in the interests of the safety of the community” for Kelly to be given supervised parole.

The Saturday Telegraph understands Kelly was released from Geoffrey Pearce Correctional Centre near Windsor this week.

As part of his parole conditions, Kelly is banned from communicating with Mrs Devrell’s family.

Kelly’s crime made headlines across the state in 2011 when prosecutors revealed the bizarre motivation behind the murder.

The court heard the now-66-year-old had been appointed to manage the Devrells’ financial affairs after they won $5m on Oz Lotto in 1999.

However, Kelly had become increasingly angry with the couple leading up to the murder, believing they were spending beyond their means and being “wasteful” with the money.

The court heard on the day of the murder, Kelly had been due to go camping with Mr Devrell but he called in first at Mrs Devrell’s home.

The pair got into an argument over Mrs Devrell’s repeated requests to be allocated more money, and Kelly later told psychiatrists he “saw crimson”.

Amy Devrell, at Peter Kelly’s sentencing hearing in 2012, discovered her mother’s body inside their Tamworth home.

Agreed facts said he grabbed a mallet from his car, wrapped it in cling film then hit Mrs Devrell over the head several times.

The court heard he suffocated her and took her purse when he left, to make the crime look like a robbery, then joined Mr Devrell on the camping trip.

When sentencing Kelly, Justice Robert Allan Hulme rejected a claim Kelly hadn’t intended to kill Mrs Devrell and only wanted her to “lose all memory”‘ of the argument they had.

He found Kelly’s actions indicated “a degree of cold and calculating deliberation”.

However, Justice Hulme also noted Kelly had led “an otherwise blameless life” and had good prospects of rehabilitation.

Kelly will remain on parole until 2029.