No extra time for Swann

Fraud Michael Swann will not serve any additional prison time for another fraud related to his time working for the Otago District Health Board.

The board's former chief information officer was yesterday sentenced to 20 months' imprisonment for accepting $755,000 in bribes from long-time friend and business associate Robin Sew Hoy in exchange for channelling computer technology work to Sew Hoy's company.

Swann (48) pleaded guilty in November to a single charge under the Secret Commissions Act relating to 85 secret commission payments.

The charge carries a maximum penalty of two years' jail or a fine not exceeding $1000.

Swann has already served 11 months of a nine and a-half year prison term for defrauding the board of almost $17 million with another business associate.

His minimum non-parole term is four years and three months.

At yesterday's sentencing in the High Court at Dunedin, Justice Chisholm said his "difficult decision" was whether Swann should serve a longer period of imprisonment when the totality of his offending was considered.

Although involving different associates, the underlying offending in both cases was similar, involved the same organisation, and was carried out over the same period of time - between 2000 and 2006.

For those reasons, he believed the appropriate course was to impose a concurrent sentence.

Only a small number of people were in the public gallery to listen to the sentencing.

Swann, who was wearing prison clothing of trousers and a maroon sweatshirt, looked tanned and relaxed and remained impassive throughout the 75-minute hearing.

When it concluded, he turned, smiled, and mouthed hellos to two men and a woman before being taken to the holding cells.

Robin Bates appeared for the Crown, with Anita Kileen from the Serious Fraud Office seated beside him.

Hugo Young, of Invercargill, appeared for Swann.

Sew Hoy was sentenced to 10 months' home detention for his part in the fraud and paid the board $325,000 reparation.

Justice Chisholm said he accepted Mr Bates' view there should be a "marked distinction" between the starting points for the sentences of Swann and Sew Hoy.

Justice Chisholm said he came to that view because of Swann's "gross breach of trust" as a senior officer with a public body.

Justice Chisholm said he did not have enough information to decide whether to order reparation and adjourned the issue for six months so that an "accurate picture can be placed before the court".

An Otago Daily Times application to photograph Swann at yesterday's sentencing was declined this week by Justice Chisholm.

Justice Chisholm's minute regarding that decision stated in part: "Given that the Otago Daily Times took still photographs of the accused at his previous sentencing around 12 months ago in relation to related events, I have not been persuaded that it would be in the interests of justice for this application to be granted."