Photographic evidence gathered by police and Customs in Operation Heracles in which 46kg of cocaine was hidden in a ship in the Port of Tauranga in October 2017. Photo / Supplied
Three members of a drug-smuggling ring that imported $20m of cocaine into New Zealand have had their prison terms reduced on appeal.
The original sentences for Croatian national Mario Habulin, Serbian Deni Cavallo, and Australian Matthew John Scott were quashed by the Court of Appeal on June 30.
The trio was part of an international organised criminal group that smuggled cocaine from South America through the Port of Tauranga in three shipments in June, July and October 2017.
The intercepted third shipment, of 46 kilograms worth $20 million, is the second-largest importation of cocaine into New Zealand.
The appellants pleaded guilty at the start of their trial in the Rotorua Court in the face of what a Judge called "overwhelming Crown evidence" and were sentenced by Justice Grant Powell in February 2020.
Habulin imported 76kg of cocaine in total over the three shipments. He also supplied 25kg of the drug from the first two shipments to purchasers and transferred $1,498,500 to a money-laundering ring.
Scott assisted Habulin in supplying the first two shipments and transferred $1,192,000 to the money-laundering ring.
Both Scott and Cavallo assisted Habulin to import the third cocaine shipment of 46kg.
The smuggling plot was undone as the men were under constant watch by police and Customs and their conversations were bugged.
The investigation culminated in their arrests after the offenders retrieved 46kg of cocaine hidden in the container ship Maersk Antares which arrived in Tauranga from Chile on October 31, 2017.
A few hours later, police raided Scott's rented Mount Maunganui house and seized 46kg of cocaine, which remains the second biggest seizure of cocaine in New Zealand.
The Court of Appeal's written decision said Habulin, Scott and Cavallo argued their sentences were "manifestly excessive" in light of the "lesser harm" of cocaine compared to methamphetamine, and that should be reflected in lower sentence starting points.
Justice Powell had referenced a guideline judgement from a methamphetamine case in setting a starting point for sentencing.
They also argued Justice Powell should have given higher discounts for personal mitigating circumstances, including for the "greater hardship" they faced as foreign nationals behind bars.
Habulin argued that Powell had erred in considering he played a "leading role" and for not taking into account the nexus between his background as a "displaced" veteran and released prisoner in France and this offending.
Cavallo also contended his role was not as significant as Justice Powell considered, and he should have received greater discounts for his cultural and socioeconomic deprivation, prior good character, remorse and rehabilitation prospects.
Scott argued the judge erred in not taking into account his previous good character, childhood events, employment prospects, and his "lesser" role.
Evidence submitted to the Court of Appeal showed cocaine powder was less toxic and harmful than methamphetamine, the judgment said.
The Court of Appeal justices agreed it was "generally appropriate" to reduce the starting points for three men given the scientific evidence provided to the court.
But they ruled Justice Powell was not wrong in considering Habulin and Scott had played "leading roles" nor in not giving discounts for cultural and background factors.
In terms of personal mitigating factors, the appeal justices said Scott had overcome his "early life difficulties" and did not suffer from a systemic inability to tell right from wrong.
The sentencing judge had already given discounts for the men's foreign status and the appellants chose to come to New Zealand to offend "seriously and profit substantially".
"This mitigates the required response to the hardship they will otherwise face."
However, the justices said Scott should have received a discount for his rehabilitative prospects, but his prior convictions "excluded" a good character discount.
Cavallo received a greater discount for his "significant" but lesser role in the offending.
Cavallo's 23 years prison sentence was reduced to 17 years and eight months, and Habulin will now serve 23 years and four months instead of 27 years and six months.
Scott's 24 years sentence was also reduced to 20 years and fives months.