The estranged wife of convicted fraud Michael Swann may have to give up her 2005 Toyota Land Cruiser and drive "a more modest" vehicle, after directions were given in the High Court at Dunedin yesterday.
The first call of the Proceeds of Crimes Act proceedings initiated by the Solicitor-general against Swann was held before Justice Graham Lang, of Auckland.
Crown solicitor Marie Grills said "matrimonial property" appeared to be the only basis on which Anna Devereux could make a claim on the Land Cruiser, estimated to be worth between $50,000 and $60,000.
Under the interim restraining order granted by Justice Lynton Stevens, the Solicitor-general could have already taken the Land Cruiser, but after contact from Ms Devereux's lawyers had not, Mrs Grills said.
Justice Lang said a 1997 Land Rover, held by a panelbeating company to cover outstanding debts, could be sold.
After the debt had been paid to the panelbeaters, the remaining proceeds could be used to purchase "a more modest vehicle" for Ms Devereux "if she is prepared to surrender the vehicle she is currently using".
Ms Grills questioned the wording "if she is prepared to" as the Land Cruiser was subject to a restraining order.
However, Justice Lang said if Ms Devereux refused to surrender the vehicle, the Solicitor-general could come back to court to get another order.
An order which allowed court officials on to the property would not be much help if the vehicle was "hidden or locked away", he said.
The substantive hearing of the Proceeds of Crimes Act case will be held on May 8 and is set down for one and a-half days.
Fifteen respondents are named in the case including Swann, Ms Devereux and the Otago District Health Board.
Mrs Grills said the location of further property was an ongoing process.
Solicitor Larna Jensen, acting as agent for McElroy's Barristers and Solicitors, on behalf of three respondents including Ms Devereux, said they believed there could be "untainted" property.
Swann's assets have been valued at about $5 million.
