A man and a woman who defrauded 245 people of £ 13.7 million in pension savings have been jailed.
Alan Barat, 62, and Susan Dalton, 66, tricked hundreds of people into transferring their pension savings to 10 schemes they controlled.
The average loss was £ 55,000, but some lost much more.
Barat was arrested in Spain and sent back to the United Kingdom in 2021, the first time a pension regulator had extradited a suspect.
Both Barat and Dalton – from Essex and Lancashire – have been accused of fraud in abusing their position as trustees.
Barat denied the accusation, but changed his plea in January.
The Spanish-based couple lures people with the promise of unrealistic returns, bonuses and even John Lewis vouchers.
“Mastermind” David Austin committed suicide in 2019 after being invited for a police interview, the Crown Court of Southwark reported.
In the process, it was found that Dalton earned about £ 126,000 from the fraud and Barratt about £ 343,000.
However, they allegedly handed over most of the money to Austin, who used it to finance business, pay others involved in the fraud, and enrich himself and his family.
A 2018 civil lawsuit ordered the trio to pay millions, but the funds were largely transferred to offshore accounts and not reimbursed.
Barat was sentenced to five years and seven months, and Dalton to four years and eight months.
Judge Gregory Perrins said the couple had caused “such misfortune” with victims who had developed mental health problems, and some had even attempted suicide.
“Every story I’ve read is a life story ruined by your actions, and you should both be ashamed,” he said.
A nurse in intensive care lost £ 45,000
One of the victims of the fraud, which occurred between 2012 and 2014, was Pauline Padden of Merseyside.
The 58-year-old woman was caring for her terminally ill mother when she received an SMS offering money and a better deal for her pension in exchange for transferring the potty.
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1:23 An NHS nurse may have to sell a house after a scam
Ms Padon, who has worked as a nurse in critical care for more than 40 years, has agreed to move her funds from the workplace scheme to the Gresham Investment Retirement Insurance Scheme.
She hoped it would mean more security when she retired.
However, six months later she was devastated when she received a letter explaining that she had been a victim of fraud and had lost £ 45,000.
The mother of three said she was deprived of the prospect of ever retiring and could be forced to sell her home.
“I did this to try to make my retirement easier, but I was left at a high level,” she said.
“My children are worried and angry because they know I have worked so hard. They ask me why I do not give up work. I tell them I can’t – I can’t afford to live.
“While friends and family talk about retirement, I will probably have to keep working until I am no longer able to do so.
“When I think about it, I panic. What can I do? There’s nothing I can do.”
Others who lost huge sums include Kent firefighter Glenn Perkins, who transferred £ 146,000 and says he is now battling mental health issues.
Another victim, named Mr Holloway in court, was left “devastated” after losing £ 300,000.
Barratt’s lawyer, Senghin Kong, told the court that his client was “deeply sorry” and was a “tool to be used” by so-called scheme organizer David Austin.
“Mr Barat had only a limited awareness and understanding of everything Mr Austin was doing,” he said.
Dalton feels “great remorse” for his role in the fraud, said her lawyer, George Payne.
He said she believed the schemes were legal and even persuaded her own brother to part with £ 250,000.
A hearing to recover what may remain of the profits will be held in November.
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