Tax evader businessman pleads ill health to avoid time in prison

Donald John Baker transferred more than $312,000 into his daughter's bank account the day after the official assignee visited him following his bankruptcy.
The 51-year-old former Whangarei man, who owes Inland Revenue more than $153,000 in unpaid tax from a business he previously owned, was yesterday sentenced to six months' home detention by Judge Phillip Connell in the Rotorua District Court on two counts of wilfully concealing money and two counts of wilfully misleading the official assignee.
He was also ordered to complete 150 hours' community work.
The offences were committed in Whangarei after Baker and his wife, Christine Lillian Baker, also 51, were adjudicated bankrupt on April 22, 2008.
Baker pleaded guilty to two of the charges before a trial date being set and pleaded to the other two counts on the morning of trial. The Crown offered no evidence against Baker's wife and her charges were dismissed.
The money was from the proceeds of a house which had been sold before Baker being made insolvent.
Baker had told Inland Revenue the money had gone to family and friends he owed and on gambling.
Rotorua Crown prosecutor Sarah-Louise Tapsell, who said there was a level of premeditation in Baker's offending, asked the court to consider between one and two years' imprisonment as a deterrent.
"The conduct was premeditated and took place over a year," she said.
Baker's lawyer, Bill Nabney, asked the court to consider home detention.
"There was not a high level of premeditation," he said. "The money sat in the account for some significant period of time before bankruptcy."
Mr Nabney said Baker was "dismayed" when he discovered he had been declared bankrupt as he had tried to sort the issue out.
"At the end of the day when he found out ... He immediately withdrew the money. He did that immediately. It was not premeditated."
Baker and his daughter then travelled around Northland spending the money.
"He said he has spent the lot," he said.
Baker has significant health issues which could lead to cancer, the court heard.
Judge Connell told Baker he had not only ripped off people his business owed money to, he had ripped off taxpayers.
The judge told Baker he found it difficult to believe he had gambled the money away as he'd told investigators.
"Any suggestion you lost the money gambling, I treat with scepticism. You were successful in business until your illness ...
"You simply don't do well in business if you have a propensity to gamble money in this way," he said.