ONE of Tasmania's longest-serving prisoners who was once described as a "sexual psychopath" has been identified as the prime suspect in the disappearance of Lucille Butterworth, an inquest has heard.
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Geoffrey Charles Hunt, 60, was jailed in 1976 for sexually assaulting and brutally killing car sales agent Susan Knight near Bridgewater.
He is currently on parole.
Ms Butterworth vanished from a Claremont bus stop 46 years ago, and a coronial inquest is examining her disappearance.
Day one of the inquest in Hobart heard the "contemporary hypothesis" was that the 20-year-old became alarmed when she thought she missed her bus and accepted a ride.
Counsel assisting the coroner Simon Nicholson said it was likely Ms Butterworth "met with foul play" and died not far from where she missed her bus.
The focus of the inquest will surround Hunt, who was 19 when Ms Butterworth disappeared.
Mr Nicholson said evidence would be tendered that Hunt admitted to police he strangled Ms Butterworth to death.
He said the police interview had been lost, and was based on evidence from a retired policeman.
"What he told police was directly related to the excavation at Granton," Mr Nicholson said.
Mr Nicholson said Hunt told police he offered Ms Butterworth a ride, and during the trip she complained of a foot cramp.
He said Hunt pulled over and put his hands around her throat and strangled her, and then put her in a "fireman's lift" and dumped her at the Derwent River.
Mr Nicholson said Hunt had attempted to lure girls for sexual assault on two other occasions.
The inquest heard serious consideration of Hunt as the murderer did not occur until 2000, and he had denied knowing Ms Butterworth.
Mr Nicholson said the "turning point and most critical evidence" was that Hunt said he did not have a driver's licence in 1969.
But he said it was later confirmed Hunt was regularly seen driving to work in a car with the same description a witness saw at the bus stop on the nightMs Butterworth disappeared.
The inquest heard Hunt was arrested for Ms Butterworth's murder in 2004 but there was not enough evidence to lay charges.
Two other persons of interest were deemed unlikely to have any involvement in her death and another is dead.
Mr Nicholson said the initial investigation had many deficiencies, including a lack of resources and direction.
The investigation was originally classed as a missing person case, with senior police believing she ran away.
"There was, and is, no basis for that," Mr Nicholson.
He said the timeline surrounding the last direct sighting of Ms Butterworth would be crucial to the inquest, which is expected to run for a month.
The inquest will hear from 40 witnesses and involve 200 items of evidence.