Sadistic Victorian murderer Michael Cardamone will remain in jail until the day he dies after losing his appeal against a life behind bars.

Cardamone was jailed for life for killing his neighbour Karen Chetcuti-Verbunt in “horrifying, depraved and disgusting” circumstances near Wangaratta in January 2016.

The 52-year-old set a precedent in Victoria as the first killer without a previous murder conviction and who pleaded guilty to never see freedom again.

On Tuesday, the court of appeal upheld Justice Lex Lasry’s sentence, saying Cardamone had “no regard for human life and would inevitably pose a danger to the community” if ever released.

The judgment was welcomed by the victim’s mother, Clary Verbunt, but she said life in jail for the “monster” was “still too good” and she now believed in the death penalty.

Leny and Clary Verbunt, the sister and mother of Karen Chetcuti, speak to the media outside court on Tuesday. Photograph: Amber Wilson/AAP

On the night of her death, Chetcuti-Verbunt, 49, was held prisoner for hours, her wrists and ankles bound with rope, cable ties and duct tape.

Cardamone viciously assaulted Chetcuti-Verbunt before setting her on fire while she was still alive. He may also have sexually assaulted her while she was incapacitated, and drove over her body after she was dead.

Her body was found five days later.

Cardamone was on parole at the time after serving nine years in jail for raping a 15-year-old while menacing her with a large wrench and threatening to kill her and her family.

“The murder was premeditated, and committed in circumstances of the utmost cruelty,” Chief Justice Anne Ferguson said on Tuesday.

“It was committed by an offender who had already shown himself to be a serious threat to women.”

She said Cardamone underwent an “elaborate charade” after the murder to “save his own skin” and avoid taking responsibility, including an attempt to have the prosecution witness killed - an enterprise in which Cardamone entwined his elderly mother, having her pay thousands of dollars to a supposed hitman, who turned out to be undercover police agent.

“The sentence of life imprisonment, with no non-parole period was a dreadful punishment ... [But] it was, in the exceptional circumstances of this case, well merited,” Ferguson said.

Outside court, Chetcuti-Verbunt’s sister, Lany Verbunt, told reporters she thought Cardamone would still be dangerous even if released when he was 75 or 80.

“I try not to think about him, but I think about Karen every day and what she went through. I don’t think she wanted to leave this earth so soon.”