Victorian businessman Di Sanh Duong, 68, was charged under federal laws created in 2018, which ban covert foreign interference in domestic politics.
He faced a month-long trial in the County Court at the end of 2023, where he was found guilty by a jury of preparing for or planning an act of foreign interference on behalf of the Chinese Communist Party.
Duong cultivated a relationship with the then-federal multicultural affairs minister, Alan Tudge, on behalf of the CCP.
Prosecutors said Duong, a former Victorian Liberal Party candidate and Chinese community leader, was an ideal target to work as an agent for the CCP's United Front Work Department.
Duong started raising the money for COVID-19 supplies, including gloves and masks, to be exported from China, but was unable to secure shipment and instead handed over a cheque.
He arranged for Mr Tudge to receive a $37,450 donation on behalf of Royal Melbourne Hospital, money he had raised as president of Oceania Federation of Chinese Organisations.
Mr Tudge's office organised a media opportunity where a novelty cheque was handed over at the hospital in June 2020.
Duong pleaded not guilty and denied all allegations about foreign interference.
His lawyers claimed the money was raised to help frontline healthcare workers during the pandemic and combat anti-China sentiment.
However, the jury disagreed and returned a guilty verdict in December.
Judge Richard Maidment on Thursday handed Duong a two-year and nine-month prison term, after finding a term of imprisonment was the only appropriate sentence.
He must serve 12 months of that sentence before he can be released on a four-year good behaviour bond.
He found Duong had "exploited" his lack of prior criminal history, his good standing in the community and his Liberal Party membership in committing the offending.
His selection of a cabinet minister as the object of his criminal intent amounted to "serious example of an inherently serious offence", Judge Maidment said.
Duong, who has been on bail throughout the court proceedings, cried and grabbed a tissue upon learning he will immediately be taken to prison.