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@JDB
I didn't know distilling was illegal, but this was all done in Australia where it is a bit of a grey area. You can't legally buy a still, but shops can sell them as long as they are called "essential oil distillers" and under 5l in capacity.
And yes anaerobic respiration of yeast does produce other nasty stuff, namely methanol in very small but still dangerous levels. This is the main reason you need to be very careful with temperature control and stuff while distilling. Methanol is slightly more volatile than ethanol so you throw away the first liquid to come out of your still each run.