A convicted fraudster who falsely held out her company to be a registered charity has been banned from acting a company director for 12 years.

Deemster Andrew Corlett ruled that Wendy Megson’s actions were ‘particularly egregious’ and her patterns of behaviour were those that no fit and proper company official would engage in.

Megson is currently serving a 39-month jail term having been found guilty by a jury in June 2023 of nine counts of benefit fraud, two charges of charity fraud, one count of fraud by false representation and one of obtaining remission of fees by deception.

She refused to appear in the civil court on Thursday for a disqualification hearing brought by the Financial Services Authority.

Deemster Corlett said it would not be appropriate to force her to come to court. ‘She knew about this civil claim but has decided she does not wish to take part in the proceedings,’ he said.

Her criminal trial had similarly continued in her absence, without her taking the stand, after she was remanded in custody on the second day due to her disruptive behaviour.

Advocates Timothy Evans, representing the FSA, said that all material times Megson had been director and secretary of Manx Equitherapy Limited (MEL).

He said she had held it out to be a registered charity although it had never been one.

The trial heard that Megson, previously of Ballaradcliffe, Andreas, had ‘stolen’ the registration numbers of genuine charities to give the fraud an ‘air of authenticity’ and solicit donations.

Her bank account was used as her ‘personal piggy bank’ to fund a ‘lavish lifestyle’ which included shopping sprees, off-island trips and hotel stays, the court heard.

Megson was overpaid a total of £31,366 in benefits over a period of four years by not declaring her account. She had claimed she was too ill to work but was receiving an income from providing horse riding lessons.

Mr Evans told the disqualification hearing that there was ‘little rationale other than personal greed’ and she had abrogated the most basic responsibilities of a company officer.

The taxpayer had been a victim, he said, as the benefit office had been defrauded of thousands of pounds.

Mr Evans said a lengthy disqualification would send out a message that conduct of this nature would not be tolerated in this jurisdiction.

‘The honour of being an officer of a company will not be extended to a fraudster,’ he said.

Deemster Corlett said he considered that the appropriate period of disqualification was one of 12 years.

He said no mitigation ‘whatsoever’ had been put forward and the proceedings had been ‘wholly undefended’

She had used her company to conceal her income and commit fraud, the Deemster said.

He said it had been the ‘most disgraceful use of a charity shield to perpetrate what amounts to serious fraud’.

In March last year Megson was made subject to a confiscation order for almost £170,000 and warned she would serve another 30 months in jail if she failed to pay up.