A man who owned a share in four properties fraudulently claimed over $152,000 in social security payments after lying about his assets.
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Michael Joseph Abela was sentenced at Wollongong District Court after pleading guilty to two counts of obtaining financial advantage by deception, with the judge also taking into account a third count of the same offence when deciding the sentence.
In March 2012, the 57-year-old made a claim for Parenting Payment Single and signed a declaration that he had no real estate interests other than the Mittagong home in which he lived.
But Abela also owned or had a significant share of ownership in three additional properties, in Mittagong, Ruse and Rosemeadow.
At the time his interest in these properties was worth over $436,750, which made him ineligible for the parenting payment.
But because of his false declaration he received fortnightly payments from March 2012 to April 2015, totalling over $58,200.
Then in April 2015, he signed another declaration stating he had no real estate assets other than his residence, this time as part of a claim for the Newstart payment.
At this point, his interest in his non-residential properties was over $634,700.
But he received almost $19,870 in Newstart payments between April 2015 and October 2016, to which he was not entitled.
In August 2016, Abela completed a carer's payment form and stated that the net market value of his family's assets was $12,000.
In fact, the value of his interest in his non-residential properties had by that point surpassed $762,300.
Between October 2016 and September 2019, Abela received fortnightly carer's payments totalling over $74,300 - but he was not eligible for them.
The sum of the payments Abela claimed between 2012 and 2019 came to $152,393.16.
His deceptions came to light when, in June 2019, he was sent a notice requiring him to outline his assets.
He provided records to Services Australia for his real estate properties and declared he had a 50 per cent share in the three in which he did not live.
The court heard Abela had since repaid the Commonwealth all the money he had fraudulently claimed.
At the time of his offending Abela was a single father to four boys, the youngest of whom had a disabling dermatological condition that needed ongoing care.
Judge Andrew Haesler noted that Abela's underlying psychological condition appeared to manifest in a "certain obsessiveness" in providing for his children and he wanted to hold on to these properties for their inheritance, rather than liquidate his assets to gain access to money.
"There's an almost pathological level of enforced poverty," Judge Haesler said.
His lawyer Zaid Khan told the court that he understood Abela owned the properties with his ex-wife and there were difficulties in disposing of them.
"Mr Abela is a hoarder... and he's hoarded these properties," Mr Khan said.
The properties were neglected, he said, and not generating any income through rent.
Mr Khan said his client had had on ongoing legal issue accessing income protection insurance but that payment had since kicked in, which was why he was able to repay the money.
Judge Haesler said Abela had "deep-seated psychological problems" that led to what Mr Khan described as "a form of functional paralysis".
He said his state of mind meant he became overwhelmed by details and what he was required to do, and exhibited avoidance behaviours.
Abela had been unable to hold down regular employment, he said, but had been seeking professional help for an adjustment disorder, depression and anxiety.
Judge Haesler said in his offending, Abela had seen an opportunity to get regular if modest funds to care for his sons, rather than use his properties as a legitimate means to provide for his children.
He said a full-time jail sentence would cause considerable disruption to the family, and the youngest child needed the care of his father.
But he said people receiving social security benefits when they were not entitled to them affected those who genuinely needed them.
Judge Haesler said he had to impose a custodial sentence, but he was "not going to send someone to jail unless [he] absolutely had to".
He sentenced Abela to two years' imprisonment, to be served in the community by way of an intensive corrections order.
Abela will be supervised and must undertake psychological treatment as directed.
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Natalie Croxon
Reporter at the Illawarra Mercury, mostly covering social affairs. Previously of the Bendigo Advertiser, Northern Daily Leader and Quirindi Advocate. Our Watch award winner.
Reporter at the Illawarra Mercury, mostly covering social affairs. Previously of the Bendigo Advertiser, Northern Daily Leader and Quirindi Advocate. Our Watch award winner.
