Chapter 7 – 

Bailey’s Exploitation of Sharon Hamilton

 

 

Introduction

 

Sharon Margaret Hamilton’s life was torn apart by a brief but violent encounter in Parramatta Jail, but her tragic downfall stemmed from a web of manipulation and abuse at the hands of Bailey and staff at Chelmsford Private Hospital. The case not only exposed individual predation and medical misconduct but also became a catalyst for systematic reforms as public outrage mounted over the scandal’s revelations.

 

 

The Jail Attack: A Brief and Traumatic Event

 

In June 1972, dancer Sharon Hamilton performed at Parramatta Jail, joined by two other young women. After the show, while admiring a portrait of President J.F. Kennedy painted by inmate Leonard Lawson—a convicted murderer and rapist—she was suddenly seized by Lawson who pressed a knife against her and threatened her life. According to media and historical sources, Lawson had somehow acquired a knife during the event, most likely a blunt instrument such as tableware (though the precise type is unconfirmed). The reported attack was swift: prison guards and fellow inmates immediately subdued Lawson and pulled Hamilton free, resulting in minor scratches but sparing her from serious injury.

 

 

Aftermath: The First Abortion and Psychological Impact

 

Despite the spectacle of the jail incident, friends later observed that Hamilton was more affected by the subsequent breakup with a romantic partner and a first abortion, which led to marked social withdrawal and depression. Multiple witnesses commented that “the abortion and its aftermath seemed to disturb Sharon more than the brief trauma at Parramatta Jail,” challenging the later narrative that her breakdown was primarily due to the assault.

 

 

Bailey’s Entry: Manipulation and Overstatement

 

Seeking compensation for her experience, in 1973 Hamilton was referred to Bailey for psychiatric assessment. Bailey quickly assumed control over her narrative, providing medico-legal reports that, according to inquest and commission findings, exaggerated the psychological impact of the jail attack for use in her compensation trial. Hamilton was awarded $99,381 in damages.

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Bailey’s role extended from legal advisor to prescriber. Initial outpatient care quickly escalated: he prescribed medications that increased Hamilton’s depressive symptoms, isolated her from friends and family, and laid the foundation for later dependency.

 

Entrapment, Sexual Exploitation, and Escalating Abuse

 

Hamilton’s relationship with Bailey intensified through repeated DST and ECT treatments. According to nurse testimonies and official commission summaries Bailey had sex with his female patients, often ordering them sent by taxi to his office or home late at night. Staff recognized that Sharon’s relationship with Bailey had become sexual in nature. One nurse recalled: “I once entered Hamilton's hospital room to find her cutting her pubic hair. When asked why, Hamilton replied, 'I'm doing it because Harry likes it cut short.”

 

Bailey’s clinical and personal boundaries further eroded: staff and friends witnessed instances of physical abuse, particularly during crises. Multiple accounts detail violent arguments, including a documented episode following her second abortion where neighbours called police to her apartment. Sharon reported visible bruising to a doctor, and staff recorded further episodes of Bailey's drunkenness and aggressive intimidation in the hours before her suicide.

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Reports highlight that Hamilton would often threaten or attempt self-harm, sometimes in Bailey's presence, who responded with "treatment" rather than concern or protection.

 

Worsening Dependency and Grotesque Behaviour

 

Over time, Hamilton’s behaviour, and Bailey’s responses, became increasingly dysfunctional and grotesque. One notorious incident occurred during a camping trip in the weeks before her death, where, in an intoxicated quarrel, Hamilton reportedly grabbed the car's steering wheel to crash it, tried to leap from the moving vehicle, and was physically assaulted by Bailey. Staff and witnesses described growing chaos and manipulation in their interactions, as Bailey’s practice deteriorated and Hamilton’s dependency and despair deepened.

 

Financial Exploitation and False Claims of Withdrawal

 

After Hamilton’s compensation payout, Bailey inserted himself into her financial affairs, convincing her to invest in Mandala—the hospital Bailey was in the process of building—and related enterprises, which were never repaid. These breaches were flagged in official inquiries as violations of professional ethics and financial responsibility.

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Meanwhile, Bailey falsely claimed to have ceased treating Hamilton after mid-1977 to deflect blame following her suicide. However, hospital records and prescription logs confirm that he continued providing care up to the time of her death.

 

The Second Abortion and Mental Decline

 

Hamilton experienced a second abortion in July 1977, reportedly pressured by Bailey, who told her she was unfit to raise a child. Bailey denied paternity on the grounds of infertility, a claim not supported by evidence and contradicted by the absence of other known relationships for Hamilton. Her mental state markedly worsened after this event, with increased despair and instability.

 

Final Hours and Inquest Findings

 

On the final day of her life, Hamilton left a series of notes expressing gratitude, anguish, and a change of beneficiary in her will. She contacted friends to say goodbye and died by suicide using Tuinal obtained from a prescription issued by her general practitioner some weeks earlier.

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Two inquests followed: the first, in July 1978, determined her death was self-inflicted by overdose; the second, after pressure from advocacy groups and new evidence, accepted that Hamilton acted alone but publicly aired Bailey’s sexual involvement, financial exploitation, and gross misconduct as her psychiatrist and sole beneficiary. Despite the coroner's exposure of malfeasance, no professional disciplinary action followed, reflecting deep flaws in regulatory oversight.

 

 

The Push for Justice and Reform

 

Hamilton’s case became a rallying point for reform. Staff whistleblowers, advocates, and legal activists built on the evidence of her abuse, fuelling press coverage and public outrage. An account from CCHR read:

 

      Bailey’s undoing was his affair with Hamilton. Whenever Hamilton became disgruntled or threatened          to expose him, she was subjected to more 'treatment.

 

Investigations into her death, together with other Chelmsford fatalities and Crown inquiries, catalysed demands for a Royal Commission, culminating in a comprehensive inquiry into psychiatric practices and governance in Australia.

 

 

Summary

 

Sharon Hamilton’s brief, traumatic encounter in Parramatta Jail was not the primary cause of her downfall; rather, her life was systematically derailed by Bailey’s manipulative and abusive relationship, sexual and financial exploitation, and clinical recklessness. Her death exposed glaring failures in psychiatric oversight and justice, mobilizing public and institutional forces for reform. Hamilton’s ordeal stands as a grim testament to the dangers of unchecked medical power when ethics and accountability fail.

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