A NSW court has imposed hefty fines on a wine company and its manager for illegal water extraction.

Marking a precedent in water regulation enforcement, the former Wentworth wine company and its vineyard manager admitted to unlawfully tapping into a Western Murray Irrigation (WMI) pipeline.

They have been ordered to pay fines totaling nearly half a million dollars by the NSW Land and Environment Court.

The company faced a $326,500 penalty, whereas the vineyard manager was fined $172,500, amounting to the largest fine since the establishment of the Natural Resources Access Regulator (NRAR) in 2018. 

Both parties also agreed to cover $95,000 in legal costs incurred by NRAR.

This case, stemming from unauthorised water take from 2016 to 2019 at two separate vineyards, involved the illegal extraction of nearly 365ML of water, valued up to $305,000 at the time. 

Justice Sandra Duggan, in her verdict, highlighted the intentional nature of these offences, benefiting Jindalee Wines financially over an extended period, characterising the actions as part of an organised criminal activity.

The investigation, initiated by anomalies in water metre readings detected by Western Murray Irrigation, eventually led NRAR to uncover underground pipework designed to bypass metering, facilitating the unmeasured irrigation water use.

This case represents the first prosecution under sections 342 and 343 of the Water Management Act 2000 by NRAR.

The full judgement is accessible here.