Company’s fine doubled to $3m for workplace manslaughter after appeal

A stonemasonry company’s fine has been elevated following a recent appeal after being convicted over the death of a worker who was fatally crushed at a Somerton warehouse.

LH Holding Management, trading as Universal Stone and Marble, was originally fined $1.3 million in the Victorian Supreme Court back in February 2024, pleading guilty to a single charge of “engaging in negligent conduct”, which constituted a breach of duty owed to another person – tragically leading to a fatality.

Back in October 2021, Michael Tsahrelias, a 25-year-old subcontractor, passed away after a forklift being operated by the company’s sole director, Laith Hanna, with a raised load on a sloping driveway subsequently tipped over and landed on top of Tsahrelias.

An investigation carried out by WorkSafe found that it was reasonably practicable for the company to reduce the risk of either serious injury or death by ensuring the following:

• That the forklift was driven with the load as low to the ground as possible.
• Driven in reverse down any slope or incline.
• Only operated when other people were at a safe distance.
• Not driven across or turned on any slope or incline.

LH Holding Management’s failure to implement these measures was found to be “negligent” by WorkSafe as it was a great falling short of the standard of care that would have been taken by a reasonable person in the circumstances and it involved a high risk of death or serious injury.

Hanna was also convicted on a two-year community corrections order after pleading guilty to a single charge of being an officer at the company that committed workplace manslaughter – a contravention that solely rests on Hanna’s failure to take reasonable care.

Although these fines were applied, the Victorian Supreme Court set aside these original fines and ordered the company to pay a fine of three million.

There was an attempt to appeal Hanna’s fine; however, this was dismissed.

Sam Jenkin, WorkSafe executive director of health, said the decision for the fines made it clear that workplace manslaughter was a serious criminal offence with severe consequences, and perpetrators will face increased consequences.

“This young man’s death was a completely preventable tragedy – one entirely caused by the employer’s negligence and complete disregard for basic health and safety obligations,” Jenkin said.

“While no penalty will ever make up for a life lost, today’s decision reinforces that WorkSafe – and the courts – will hold negligent employers accountable when they fail in their ultimate responsibility to protect the lives of their workers.”