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ABC News
ABC News
National
Jamie McKinnell

Paul Peters apologises to victim at parole hearing over Sydney collar bomb hoax

Paul Peters is due to be released on parole next month. (Reuters: US Department of Justice/Handout)

The extortionist behind Sydney's collar bomb hoax has unexpectedly spoken up at a parole hearing to issue a public apology to his victim. 

Paul Douglas Peters was jailed for at least 10 years over the 2011 attack in which he strapped a fake bomb around the neck of a terrified teenager in her Mosman bedroom.

Now in his 60s, Peters's non-parole period expires in mid-August and the State Parole Authority (SPA) has formed an intention to grant his freedom.

But the State of NSW is arguing for a further adjournment to allow for another psychiatric report on Peters.

"If there's one thing I may say if you don't mind," Peters unexpectedly began at a parole hearing in Sydney after a discussion about the adjournment.

"I've never had an opportunity to say in public that..."

Judge Mark Marien interrupted to remind Peters that he had a highly experienced counsel appearing for him, who had said all he could on Peters's behalf.

"It was merely a deep founded apology to [the victim], that's all," Peters replied.

The then-18-year-old spent 10 hours with the fake device strapped to her neck with a bicycle lock before police deemed it safe for removal.

Peters also left a lanyard, USB drive and two-page document with her as part of his attempted extortion.

Judge Marien questioned the utility of further psychiatric reports, given repeated risk assessments have found Peters has a low risk of reoffending.

He also had no prior convictions or history of violence or aggression and was motivated by greed, his sentencing judge found.

The hoax collar bomb made by Paul Peters shown during a sentencing hearing in 2012. (AAP: Tracey Nearmy)

Judge Marien described the offence as "a very serious, heinous crime of threatened violence".

But psychiatrists have previously found his presentation to be "complex" and one report from 2016 suggested they would continue to be divided about his underlying diagnosis.

The SPA reserved its decision.

Peters, a former banker, fled to the United States after the incident and was extradited back to Australia.

He unsuccessfully appealed his maximum 13-and-a-half-year sentence.

In 2012, District Court Judge Peter Zahra said Peters had inflicted "unimaginable terror" on the teen, who cannot be named.

Peters identified with a character in a novel he was obsessively writing, was devastated by his marriage breakdown, and claimed to not remember what happened in the home.

One forensic psychiatrist believed that in his disturbed state of mind, Peters thought he had become part of the novel.

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