Sydney Police Officer Jailed for Theft of $200K to Fund Gambling

A former police officer in western Sydney has been sentenced to prison after stealing more than $200,000 from evidence storage over several years to support a gambling addiction and pay off credit card debt.

Police officers wearing New South Wales police badge on their shoulders. Sydney police officer stole $200K to fund a gambling habit.
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Tracey Lee Butler, 58, managed to siphon cash from her station in Mount Druitt for nearly five years, as routine audits were not conducted by her colleagues. Butler, who was a senior constable responsible for managing evidence, will now serve at least 18 months behind bars.

Her scheme unraveled in 2021 when authorities were unable to locate $18,000 that was supposed to be returned to a suspect who was legally entitled to the money. Official records contained no mention of the missing cash, prompting a broader investigation that revealed multiple discrepancies in cash exhibits.

Butler ultimately admitted to stealing a total of $209,730 from more than 43 evidence bags between 2017 and 2022. She pleaded guilty to willful misconduct as a public officer.

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Audit Failures Allowed Theft to Go Undetected

Judge Guy Newton noted that police stations across New South Wales are required to conduct monthly audits of cash evidence under the supervision of a duty officer. However, at Mount Druitt, these checks were never properly conducted.

He said that any audits that were carried out were carried out by Butler alone without the supervision of a duty officer or supervisor.

The court found that Butler was using the stolen money to fuel a worsening gambling addiction that left her bank accounts overdrawn. She reportedly lost $170,000 through gambling during the period of her offenses.

Her legal team argued that the emotional and financial harm caused by her actions was minimal and that she did not fully understand the consequences of her crimes. However, Judge Newton rejected these claims and emphasized that the lack of oversight by other officers did not lessen her responsibility.

Sentencing and Career Consequences

Butler, who had served as a police officer for 22 years, was sentenced to two years and seven months in prison, with a minimum non-parole period of 18 months.

Following her arrest, she was suspended from duty without pay. In November 2023, the New South Wales Police Commissioner formally dismissed her from the force under special powers.

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