Bankrupt man in court for not declaring $173k
FORGETTING to declare he had received nearly $200,000 after filing for bankruptcy proved to be a costly decision for one Toowoomba man.
Peter Roy Wakeling fronted the Toowoomba Magistrates Court earlier this month after being caught making a number of large transactions in a bid to pay off his mortgage.
The only problem is, he never told the person in charge of his financial affairs.
Wakeling pleaded guilty in the Toowoomba Magistrates Court to six counts of disposing of property worth more than $20 on August 14.
Those charges stem from offences he committed three years ago.
Back in December 2015, while he was an undischarged bankrupt, Wakeling received $172,400 in his bank account that was bequeathed to him from a deceased estate.
Three months later he received a further $16,068.74 from the deceased estate.
He was given an 18-month good behaviour bond for the offences.
Wakeling did not notify his trustee in bankruptcy, instead he transferred $139,737.65 to the first ranking mortgagee of the over-encumbered property where he lived.
This payment did not create sufficient equity for the trustee in bankruptcy to be able to justify selling the property as other secured interests existed.
However, the payment extinguished the claim of the first mortgagee.
Between 22 December 2015 and 14 March 2016, Mr Wakeling also made five transfers totalling $34,100, which were funded by the money bequeathed to him.
The transfer of funds to the mortgagee and five other transactions were the basis of the charges he faced in court.
The funds removed totalled $173,837.65.
Wakeling was convicted and released upon entering into a recognisance release order with a condition that he be of good behaviour for 18 months.