(1) If a court finds a person guilty of, or convicts a person of, an offence it may, on the application of a person suffering loss or destruction of, or damage to, property as a result of the offence, order the offender to pay any compensation for the loss, destruction or damage (not exceeding the value of the property lost, destroyed or damaged) that the court thinks fit.The matter of LSB v Werden [2011] VSC 74 was an application by the LSB under s86 for compensation in respect of defalcations by a solicitor found guilty of theft and obtaining financial advantage by deception. The application was before Beach J in the Supreme Court of Victoria.
The application for compensation was made at least 2.5 years after the finding of guilt, and the defendant submitted the LSB was out of time as an application must be made 'as soon as practicable after the offender is found guilty, or convicted, of the offence' (at s86(5)). The LSB justified its delay by saying that at the time of the finding of guilt, the defendant did not appear to have any assets, and it was the LSB's policy not to pursue compensation in those circumstances. The defendant succeeded in its submission that the LSB was out of time.
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