S240(1)(b) Obtaining Credit By Deception

Question 1

S240(1)(b) CA61 Elements

Answer 1

• By any deception
• Without COR
• In incurring any debt or liability
• Obtains credit

Question 2

Define “Debt/ Liability”

Answer 2

Debt: legally enforceable money owing from one person to another

Liability: legally enforceable financial obligation to pay such as cost of a meal

Question 3

What you must prove under s240(1)(b)

Answer 3

• Identity of the suspect and that they
• By deception and without COR
• In incurring any debt or liability
• Obtained credit

Question 4

“Credit” Fisher v Raven

Answer 4

‘Credit’ refers to the obligation on the debtor to pay or repay, and the time given for them to do so by the creditor. Credit does not extend to an obligation to supply services or goods.

Question 5

Examples of situations where ‘credit’ may be obtained (REO)

Answer 5

Renting or leasing a dwelling
Extending existing overdraft facilities
Obtaining money on loan

Question 6

“Timing of intention to deceive” R v McKay

Answer 6

On appeal it was held that the credit had been obtained on booking in but at the time the accused did not possess an intention to deceive.

(Defendant booked a hotel and offered to pay in advance. He was told to pay in the morning. When leaving the following morning, he left without paying)

Question 7

The intention to deceive is essential and must exist when?

Answer 7

At the time when the deception is perpetrated. When the credit is obtained, a later decision not to repay is insufficient.

Eg. In relation to meals at restaurants, in order to convict the offender you must prove that they had an intent to deceive when they either entered the restaurant or started their meal.

Question 8

Define “Credit”

Answer 8

Obligation on the debtor to pay or repay and the time given for them to do so by the creditor.

Credit is an intangible thing. Credit obtained must be in respect of monetary obligation. Non monetary benefit - may be appropriate to charge under s240(1)(a)

Question 9

Is delay or non-payment of debt ‘intent to deceive’?

Answer 9

No.

Intent to deceive is not disclosed merely because there is:

• delay or non-payment of the debt or
• inability to perform a bona fide intention

Eg. To incur a debt and then be unable to pay through unforeseen circumstances, loss of money or oversight is not deceit