A Figtree husband and wife have appealed a 12-month jail sentence imposed on them yesterday for taking more than $1.4 million in client funds from trust accounts linked to their two real estate businesses.
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Roger and Gordana Ocvirk, both 39, admitted to misappropriating $1.2 million from strata company Strata Decisions Wollongong and $198,708 from real estate agency Dougmal Harcourts Warilla between August 2010 and January 2012, leaving almost 2000 clients out of pocket.
Mrs Ocvirk had previously pleaded guilty in Wollongong Local Court to two charges of failing to account for the money and one of failing to properly supervise Strata Decisions.
Her husband entered guilty pleas to the same three charges yesterday after his application to have the matters dealt with under mental health legislation was rejected.
Sentencing the duo to at least 12 months' jail, Magistrate Susan McGowan said the Ocvirks' actions constituted a "substantial breach of trust" over a lengthy period of time.
"Offences like these are only able to be carried out because of the trust [that] members of the public place in the role of real estate agents," she said.
"These crimes have an impact on public confidence and generally call the profession into question.
"This type of conduct is not to be tolerated."
Magistrate McGowan acknowledged the Ocvirks used the trust account funds repeatedly in a desperate move to prop up their failing companies and planned to pay the money back, but said the offences were calculated.
She labelled the crimes "well above the mid range" in terms of seriousness for such offences, which carry a maximum of two years' jail in the local court jurisdiction.
"The sums are substantial, the victims are numerous," she said.
"These were not impulsive acts; planning must have been involved to avoid detection for so long."
She acknowledged both defendants were entitled to a 25 per cent discount on their sentences for early guilty pleas and ordered them both to serve 12 months in jail and six months on parole.
The couple's lawyer, Colin Fegan, immediately asked Magistrate McGowan to consider altering both sentences from full-time prison to home detention; however his request was rejected.
The Ocvirks were released on bail yesterday afternoon pending their appeal in the District Court.