Two jailed for 'elaborate' pension scam

Two men have been jailed following an elaborate pensions scam in Dorset.

Known as 'pension liberation', the offences occurred between September 2013 and April 2014.

Anthony Locke, who's 33 and of Haslemere Avenue in Christchurch, and his employee Ray King - who's 54 and from Ashley Road in Poole - misled sixteen victims into transferring their pension pot into an arrangement they were told would allow them to access half their funds before the age of 55.

The victims were also promised the other half of the money would be re-invested.

However, such an arrangement before the age of 55 would usually attract an income tax liability of 55 per cent of the entire amount.

The total pension pot was £971,530.80, with around 50 per cent of this returned to the victims and the other half supposedly being re-invested.

Rather than re-investing the money, Locke used the money to fund a lavish lifestyle, spending the money on expensive cars, holidays and clothing. He spent more than £230,000 buying two Audi cars, a Mercedes, Aston Martin, Porsche and a Lamborghini Gallardo.

Locke was found guilty of 23 counts of fraud by false representation and three counts of money laundering. King was found guilty of 14 counts of fraud by false representation, following a six-week trial at Southwark Crown Court in London.

Locke was sentenced to five years in prison and King handed a three-year jail term.

A timetable was set out for Proceeds of Crime Act proceedings in relation to the recovery of funds from the defendants.