Ed Byrne, a former leader of the Progressive Conservative party and a senior government minister, resigned from cabinet in June 2006. He left politics later that year. (CBC)

A former Newfoundland and Labrador cabinet minister who has admitted to defrauding taxpayers should go to jail, a Crown prosecutor told a St. John's courtroom on Monday.

Ed Byrne, who pleaded guilty in January to two fraud-related charges, should serve a term in jail of less than two years, Frances Knickle said during a sentencing hearing in provincial court in St. John's. Judge Mark Pike is scheduled to bring down his sentence on April 17.

Knickle described the case of Byrne — who resigned in disgrace in June 2006 as the minister of natural resources, and who had been government house leader in the legislature — as a tragedy.

"Mr. Byrne is a bright individual who contributed to the betterment of Newfoundland," said Knickle, who also told Pike, "the public are victims."

Knickle said Byrne's case "undermines confidence in [a] democratic system."

Knickle said the Crown opposes a conditional sentence, which would give Byrne house arrest.

"Given the amounts [of money] and the amount of time over which this occurred, this is just too serious for a conditional sentence," Knickle told the court. She added that the Crown would like to see Byrne receive a jail sentence at "the higher end" of a range that could reach just under two years.

Bob Simmonds told the court that Byrne did not act alone in the legislative spending scandal. (CBC)

In a sweeping investigation, Auditor General John Noseworthy found that Byrne had received payments of $467,653 beyond his entitlements. However, Byrne pleaded guilty to fraud involving about $117,000.

Defence lawyer Robert Simmonds said that while "Mr. Byrne made some very egregious errors," he added that the court should consider other factors. He laid out examples that showed how house arrest had been applied in other cases.

"This was not solely Mr. Byrne," Simmonds told the court. He cited lax rules and bookkeeping at the house of assembly.

But Simmonds, who is arguing that Byrne should be allowed to service his sentence outside of a jail cell while also performing community service, said the case is nonetheless grave.

"I acknowledge that the breach of trust ... is amongst the highest that society recognizes," he said.

"There is nothing you can sentence this man to that the hell of his own personal situation hasn't already visited upon him," Simmonds said.

Prosecutor Frances Knickle described Ed Byrne's case as a tragedy that 'undermines confidence in [a] democratic system.' (CBC)

"That's a pretty dramatic, pretty devastating, pretty catastrophic fall from grace," Simmonds said of Byrne.

Byrne, who on Monday put forward a $70,000 cheque that will likely be used to pay restitution at sentencing, may be prohibited from holding public office and may no longer be able to do any business with the government. Pike will make that determination during sentencing.

Byrne, a former leader of the provincial Progressive Conservative party, is the first official charged in Newfoundland and Labrador's legislative spending scandal to be convicted. Byrne resigned his St. John's-area seat of Kilbride at the end of 2006, and has made few public appearances since.

The court was told Monday that Byrne had forged receipts as well as other documents to obtain money through the house of assembly.

The court was told that Byrne faked receipts, signatures and documents, including some related to John Joy, a former St. John's lawyer who is now a provincial court judge in Labrador.

Byrne faked Joy's signature for alleged work done on behalf of the Progressive Conservative party, court was told.

It was also told Byrne faked documents about payments supposedly made to his own nephews, as well as to political staff, constituents and party workers.

Byrne used money for barbecue, bar tab, court told

Details were also given of how Byrne used some of the money.

Byrne bought a high-end barbecue as a gift, and also used about $1,000 to cover a bar tab at a wedding.

Knickle told the court that instead of doing what he had been elected to do, and improve controls at the house of assembly, Byrne took advantage of the legislature's finances "with the help of a public official."

Byrne was charged following a lengthy police investigation that was called after Auditor General John Noseworthy found that a handful of politicians from all three parties had received far more than their entitlements in tax-free constituency allowances.

Three other former politicians — Liberals Wally Andersen and Jim Walsh, and New Democrat Randy Collins — were charged in the same investigation. Also charged is Bill Murray, the former director of finance at the house of assembly. Trials for those individuals have not begun.