Being charged with Fraud in Queensland under s408C

What should I do?

Fraud investigations are often lengthy and involve a “paper trail.” If you are being investigated for fraud, you should:

1. Strictly remain silent: Do not try to “explain the misunderstanding” to police. In fraud cases, your own statements are often the strongest evidence against you regarding your state of mind (dishonesty).
2. Appoint a lawyer to read the ‘brief’: Fraud briefs can be thousands of pages of bank records and emails. You need a lawyer who can analyze this data to see if the prosecution can actually prove “dishonesty.”
3. Audit the “detriment”: Frequently, fraud charges are inflated. A lawyer can often reduce the alleged “amount” of the fraud, which can significantly lower the potential penalty.
4. Preserve your digital devices: If you have emails or messages showing that your actions were authorised or that there was no intent to deceive, these are vital for your defence.

What does it mean?

Under Section 408C of the Criminal Code 1899 (Qld), a person commits fraud if they dishonestly:

• Apply to their own use or the use of any person, property belonging to another.
• Obtain property from any person.
• Induce any person to deliver property to any person.
• Gain a benefit or advantage for any person.¹

The word “dishonestly” is the key. The test is whether your actions were dishonest by the standards of ordinary, honest people.² If you had a “claim of right” (meaning you honestly believed you were entitled to the property), you may have a complete defence.³

What are the penalties?

Fraud is a very serious indictable offence:

• Standard Fraud: Up to 5 years imprisonment.⁴
• Aggravated Fraud: Up to 14 or 20 years imprisonment (if the value is over $30,000, or it involves an employer, a trust, or an elderly person).⁵

Courts in Queensland take a very dim view of “breach of trust” fraud (employee fraud). In many cases exceeding $10,000–$20,000, a term of actual imprisonment is the starting point for sentencing, even for people with no criminal history.

Facing a fraud investigation? Contact Bell & Senior today. We provide discrete, high-level defence for complex fraud and white-collar crime matters.