In 2004 the murders of Terrence and Christine Hodson caused the Victorian government to establish the Office of Police Integrity to investigate probable Victoria Police involvement in the murders and to investigate the leaking of sensitive police information to the Melbourne underworld.
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Terrence Hodson was to have been a police corruption witness and had rejected requests to enter the Witness Protection Program due to fears for his safety. A former police officer and a hitman were charged with their murders.
Informant
Hodson became a police informant in 2002, after he was arrested by Drug Squad detective David Miechel. Miechel was to become Hodson's handler.
On AFL Grand Final weekend in September 2003, Hodson and off-duty Miechel were arrested for burglary on a house in East Oakleigh being used to store approximately $1.3 million in ecstasy pills by criminals and which was soon to be raided by the Drug Squad.
Within 48 hours, Hodson's sensitive police file which described the evidence he had given to the Drug Squad as an informant on criminals, was stolen from police headquarters.
Hodson agreed to give evidence for Ethical Standards detectives investigating the robbery on his accomplice detective Miechel and implicated Drug Squad detective sergeant Paul Dale. All 3 were charged in December 2003.
Hodson's stolen Drug Squad informant file was leaked and circulated around the Melbourne underworld with Ethical Standard detectives suspecting Dale. Ethical Standard detectives recommended that Hodson and his family enter the Witness Protection Program due to the high risk to his safety. This was declined and they remained in their family home.
Murder
Hodson and his wife were murdered in execution style on May 16, 2004 in their home in Kew, in what The Age described as "'horrific' gangland murders". Their hands were tied behind their backs and had suffered gunshot wounds to the back of their heads in their lounge room. Christine Hodson is believed to have had no involvement in crime.
The charges against Dale for the robbery were dropped after Hodson's murder.
The murders sparked calls for a Royal Commission into Victoria Police with the government establishing the Office of Police Integrity (OPI).
The murder was investigated by the Homicide Squad despite the Ethical Standards detectives requesting a dedicated task force. The Petra Task Force was created in 2007 to investigate and the OPI in Operation Oboe investigated serving police officers associated with Dale for interfering with the murder investigation.
In 2008 authorities offered a $1 million reward for information leading to the solution of the crime.
Miechel had been jailed in August 2006 for 12 years for the drugs burglary.
Trial
In 2009 Paul Dale was charged with murder of Terrence Hodson and underworld hitman Rodney Charles Collins charged with the double murder. After a significant crown witness in the case Carl Williams died in April 2010 the charges against both men were dropped.
The prosecution was to allege that Paul Dale paid Carl Williams to arrange the murder of Terrence Hodson and that Carl gave the contract of $150,000 to Rodney Collins. Prominent Melbourne criminal Barrister Nicola Gobbo, who had worn a wire to record conversations with Dale at the request of detectives, was to give evidence including that she acted as a courier for Dale. The hitman, killed Terrence's wife not part of contract, and was charged with the double murder.
Dale remains a person of interest in the case. In 2010, the Petra Task Force was disbanded.