Toowoomba crime: Fraudsters and white-collar criminals convicted in Toowoomba courts

While they can be professional and intelligent, white collar criminals have been exposed as breaching trust and taking advantage of their employers. Find out what motivates fraud offenders, and what businesses can do to stop them.

Stopping crime and catching crooks can be a hard enough challenge at the best of times, but when it comes to white-collar fraud offences it can be the case that an offender doesn’t know they’re going to commit a fraudulent crime until they’ve done it.

Sometimes they don’t think they’re even criminals, or have done anything wrong.

University of Southern Queensland School of Law and Justice senior lecturer Dr Suzanne Reich said in general, fraud offences were motivated by either pressure in someone’s life, the perceived opportunity to commit fraud or through a process of rationalisation.

Dr Reich said people under pressure could be motivated to commit fraud by a need for financial gain to cover an addiction, such as drugs or gambling, or to support a loved one facing medical expenses.

Dr Suzanne Reich, UniSQ Criminologist.

“It might also be from external pressures such as a genuine desire for a lifestyle that their legitimate income doesn’t allow them to afford,” she said.

“Social media doesn’t do much to lower the idea that lavish lifestyles aren’t normal.”

Dr Reich said the perceived opportunity element of fraud offences involved a person weighing up the costs and benefits of committing fraud.

“This normally happens where systems and operations within a company open the door to an opportunity to commit fraud, where somebody feels that taking advantage of an opportunity would be one way to achieve some kind of monetary or material gain,” she said.

“It’s a bit more opportunistic, and happens when a person thinks there’s an unlikely chance of being caught.”

Dr Reich said both cases can involve a degree of rationalisation, where an individual formulates morally acceptable excuses to commit fraud.

“They have to come up with a rational way to make it OK for them to commit fraud as an honest person doing something dishonest,” she said.

“A person who feels pressured, or who has rationalised their activity, are intrinsically motivated from within whereas a perceived opportunity is external to the individual.

“The challenging thing is that, like many other crimes, you don’t know if someone has the propensity to commit fraud until they’ve actually done it.

“Many people have experienced pressure in life but they don’t respond by committing fraud so you don’t know how an individual will react until they’re in that scenario.”

For businesses looking to insure against fraud, Dr Reich said prevention against the motivations was the best practice.

“It’s not easy and straightforward, as those who are motivated to commit fraud because of pressure or rationalising behaviour are difficult to identify because they’re internal drivers,” she said.

“Robust checks and balances can help remove the perception of an opportunity being available.”

A report on fraud by accounting firm Price Waterhouse Cooper found that while there was no “foolproof method of preventing fraud, the risk can be minimised by taking a systematic and considered approach to its management”.

To learn more on how to combat fraud visit the Commonwealth Fraud Prevention Centre.

White collar criminals who have been convicted of fraud offences in Toowoomba courts:

Matthew David Daly

For two years during the height of the coronavirus pandemic, a Gatton man defrauded the NSW Government, as well as unsuspecting victims, of thousands of dollars by forging documents and bank accounts to falsely claim Covid-19 support payments.

Matthew David Daly, 37, appeared in Toowoomba Magistrates Court on June 10, 2022, where he was jailed for multiple charges of fraud and uttering forged documents.

Matthew David Daly appeared in Toowoomba Magistrates Court in June 2022 where he pleaded guilty to a total of 76 offences, including 57 offences related to fraudulently claiming the government support payments.

Daly was jailed for 18 months, with parole eligibility set at July 7. He was also ordered to pay $5103 restitution to two individuals who were defrauded during his offending.

FULL STORY HERE.

David James Craigen

Disgraced car salesman David Craigen jailed for fraud.

An expensive divorce and gambling addiction led to a car salesman to rip off his Toowoomba employer, Armstrong Auto Group, of $151,000.

Over a 10 month period from November 2018 the 54-year-old sold 15 vehicles to a third party, the money for which he had pocketed either in cash, bank transfer or cheque.

The matter came to light when a fellow employee found a car which had been in the Armstrong Auto Group lot at a relative’s home and asked where it had been bought.

Investigations found the 15 cars had been missing from the books and when asked about it Craigen had initially told his employer that the vehicles were under consignment.

Craigen pleaded guilty to fraud as an employee to more than $100,000 and was sentenced to four years in jail, however the term was ordered to be suspended after he had served nine months with the balance to hang over his head for four years.

FULL STORY HERE.

Catherine Mary James

An offer to pay back compensation from the inheritance from her late mother’s estate spared the 55-year-old woman from further jail time.

James was employed in April 2011 by Toowoomba business Aspect Design Studio as an office manager, where her duties included paying accounts, depositing cheques, making payments on credit accounts.

She was provided with access to the business bank account and began making fraudulent transactions from the business accounts in late 2014. Over a 44-month period transferred $104,810.32 in 133 transactions ranging from $99 up to $3500.

James’ fraudulent activity was uncovered after the business hired a chief financial officer in January 2018. It was discovered the company’s printing and stationary costs dropped considerably in the months following the CFO’s employment.

The court was told in July 2021 that James was awaiting a considerable inheritance from the estate of her mother, which was expected to arrive in the coming months, and offered to repay the entire amount defrauded as compensation.

James pleaded guilty to fraud and was sentenced to four years behind bars, suspended after six months. James was also ordered to repay $104,810.32 in compensation within four months, with an additional eight months jail time to be served if the compensation is not paid.

FULL STORY HERE.

Elizabeth Jane Henry

The practice manager for a small medical practice in Toowoomba, the city’s Magistrates Court heard in August 2017 that Elizabeth Jane Henry ripped off her employer of more than $6000.

Part of her role in the office included using the employer firm’s credit cards to deal with accounts and bills but during a eight-month period between July 1, 2015, and February 17, 2016, the 41-year-old had skimmed cash for herself.

Henry pleaded guilty to one count of stealing by clerks and servants, two counts of fraud – dishonestly gain benefit/advantage by employee, and one count of fraud – dishonest application of property or another by employee, as the charges appeared on the court list.

She was convicted and placed on 18 months probation and ordered to repay the $6000-plus, the full amount referred to SPER (State Penalties Enforcement Registry).

FULL STORY HERE.

John Michael Lane

The treasurer of the Australian Karting Association of Queensland for about 11 years, Lane moved $75,000 through four separate cheques between November 2010 and May 2011 from the karting organisation into a new business in which he was a partner.

Eventually, Lane moved $75,000 from the business in two cheques to replace the money missing from the karting club.

Therefore, though neither karting club was out of pocket in the end, Lane had committed two counts of fraud in taking the money from the karting club and then taking $75,000 from the business to cover that.

Lane pleaded guilty to two counts of fraud to the value of more than $30,000 and in August 2016 was sentenced to three years in jail that was suspended after he served six months behind bars.

FULL STORY HERE.