Patrick was born at Yass, New South Wales, in 1844 and was only a lad when he became associated with John O'Meally. John introduced him to Ben Hall, John Vane, Alex Fordyce, Fred Lowry, Harry Manns, Jimmy Dunleavy and Pat Connors, who were destined to go down in bushranging history.
Patrick became involved in Ben Halls' gang and took part in several of his escapades. On 7 February 1863, Patrick joined Ben Hall when they raided the unmanned Pinnacle Police Station and stole a rifle, a carbine, a bridle, and a pair of saddlebags. From there they next held up a store at Big Wombat owned by Myer Solomon, and stole money, horses, guns, clothing and stores. A young boy picked up a revolver during the robbery and pointed it at the bushrangers, but was forced to drop it when one of the bushrangers placed a gun to the head of Mrs Solomon and threatened to kill her. It was reported that Daley then knocked the boy down and kicked him.
The police were never very far behind the bushrangers and on 11 March 1863, shots were exchanged between them, Daley and O'Meally. Inspector Norton in charge of the police party was cornered by the two gang members, but they let him go. Inspector Pottinger then took up the pursuit, and following Daley's tracks they found a horse tethered at the top of a gold mine shaft. The police called on whoever was down there to come up, and when there was no answer, they smoked him out by throwing burning bushes down the hole. Daley was arrested and when brought before the magistrate at Forbes, no positive identification had been established of the accused. Bill Dargin, an Aboriginal blacktracker, piped up and said: "Mine know it, Patsey Daley like it brudder!" At Goulburn on 23 September 1863, Patrick Daley was charged with two counts of robbery, for which he was sentenced to fifteen years on the roads. After first being housed at Darlinghurst Gaol, he was transferred on 4 February 1864 to Cockatoo Island. He was finally discharged on the 15 October 1873 on receiving a remittance of his sentence.