Paolo Esmaquel fronts court for stealing from taxpayers

A transgender woman on a community corrections order for dishonesty offence rorted the federal and state governments out of nearly $130k to fund gender treatment.

Fraudster Paolo Esmaquel was arrested for fleecing the taxpayers out of nearly $130,000 while serving a community corrections order for dishonesty offences.

A transgender woman used nearly $130,000 she stole from taxpayers through fraudulent claims including for a stillborn child to pay for gender treatment and shopping.

Paolo Vincente Esmaquel fronted the County Court on Wednesday when she was sentenced to 12 months’ jail on various charges of obtaining money by deception and making counterfeit notes.

The sentence will be added to the prison term she received in November 2024 for fraudulently claiming $7.5m in MediCare benefits and splurging it on luxury female fashion items, hotels and cars.

She was sentenced to a minimum non-parole of three years and four months from the total sentence of five years and four months. On Wednesday, Judge Sandra Davis ordered that 12 months be added for her latest offending to the five years and four months’ she was already serving.

The court also heard that Esmaquel, 39, was serving an 18-month community corrections order imposed by the Broadmeadows Magistrates’ Court in February 2022 for dishonesty offences when she committed the latest crimes, between November 2021 and June 2022.

Con artist Paolo Esmaquel fraudulently obtained nearly $130,000 to fund gender treatment and shopping.

She submitted 10 business activity statements to the ATO under false identities in October and November 2021 and obtained $51,464. She also attempted to acquire another $12,093.

Esmaquel registered the false identities as tax agents and lodged the false statements to get GST refunds.

Judge Davis said Esmaquel produced four fake $50 notes and fake ID documents using equipment such as a heat gun, printer, scanner, spray paint, ink, and other paraphernalia associated with counterfeiting cash and ID documents.

Between February and May 2022, Esmaquel defrauded Services Australia by lodging 172 false claims under 24 different IDs for social security benefits in the names of “compromised identities”. The claims included pandemic leave payment, disaster relief payment, family tax benefits, and a false claim for a stillborn baby payment.

She directed $77,639.28 to 17 bank accounts she operated. A further 55 claims were made for more than $40,000, but were intercepted and not paid.

Esmaquel told the court that she used the stolen money to fund gender treatment and retail shopping.

Judge Davis said Esmaquel’s moral culpability was high, given the sophistication and extent of dishonesty and the production of the counterfeit money.

“You exploited programs that depend significantly on honesty. Offences against revenue are not victimless crime. The entire community suffers,” she said.