A Pecuniary Penalty Order requires a person to pay an amount which is calculated to reflect the benefits gained from unlawful activity. An order may result in a penalty greater than the actual profit made from the offending. It may extend to the entirety of the income received notwithstanding tax has been paid.
The person is required to pay the penalty amount to the Commonwealth. If they are unable to do so, restrained property owned by the person may be used to satisfy the debt.
These orders must be granted by a Court if satisfied that either:
- the person has been convicted of an indictable offence and has derived a benefit from that offence (conviction based); or
- the person has committed a serious offence (on the balance of probabilities). This second test may still be satisfied even if a person is acquitted of the criminal charges.
