NewsBite

Wife of former Palm Island mayor Alf Lacey has her $100k fraud charges dropped in Townsville

A high-profile fraud case against the former wife of a North Queensland mayor has been scrapped.

Australia's Court System

A high-profile fraud case against the former wife of a North Queensland mayor has been scrapped.

Melissa Jane Lacey, the ex-wife of former Palm Island mayor Alf Lacey, was facing a charge of fraud – dishonestly obtains property from another to the value of at least $100,000.

It had been alleged that between February 1 to November 7, 2019, Ms Lacey defrauded the then Ridgemont Executive motel owner Yang Zhi Chen of up to $100,000.

But on August 23, prosecutors in Townsville District Court presented a nolle prosequi order before Judge John Coker – two years after she was charged over the alleged offending.

Ms Lacey had pleaded not guilty to the charge on January 28 this year.

Melissa Lacey, the former wife of once Palm Island Mayor Alf Lacey.
Melissa Lacey, the former wife of once Palm Island Mayor Alf Lacey.

In 2020, Mr Lacey was also charged with a count of fraud exceeding $100,000, and one of failing to comply with obligation of a councillor to correct register of interests.

Prosecutors had alleged the pair acted together to defraud Mr Chen.

It had been alleged Ms Lacey told Mr Chen that Palm Island Aboriginal Shire Council was interested in buying the Ridgemont motel.

The sale of the hotel would have allowed Mr Chen to move to Melbourne and be with his family.

Money in cash and bank transfers were allegedly sent from Mr Chen to Ms Lacey during the period that followed.

The money, prosecutors alleged, funded purchases including a $5000 whipper-snipper and a Jeep.

But after a two-day hearing in November 2021, Mr Lacey’s fraud charge was dropped by Magistrate Viviana Keegan – who found the evidence connecting Mr Lacey to the alleged fraud “lacking” for a trial.

The decision came after three witnesses, including Detective Sergeant Andrew Francis – a former Crime and Corruption Commission investigator gave evidence on the stand.

katie.hall@news.com.au

Originally published as Wife of former Palm Island mayor Alf Lacey has her $100k fraud charges dropped in Townsville

Original URL: https://www.ntnews.com.au/news/townsville/wife-of-former-palm-island-mayor-alf-lacey-has-her-100k-fraud-charges-dropped-in-townsville/news-story/590c0bef7ee09f5d686c9759a7df649b