A former finance firm chief executive has been sentenced to six months in prison for concealing thousands of pounds, including lavish spending on horses, holidays, and hot tubs. Michael Thomson, 53, appeared at Southwark Crown Court alongside his wife Debbie, who also received a sentence.
Debbie Thomson's six-month jail term was suspended for two years. The court heard the couple are now separated. Thomson admitted breaching orders that previously threatened him with imprisonment.
Thomson, formerly CEO of London Capital & Finance (LCF), was convicted after selling luxury items in violation of a court restraint order. He and his estranged wife, also 53, were subject to the order as part of the Serious Fraud Office's (SFO) investigation into suspected fraud and money laundering at LCF, where 11,000 investors lost over £237 million between 2014 and 2019.
Thomson was already serving a suspended sentence for an earlier breach of the order, having transferred £95,000 to Debbie Thomson to conceal funds from SFO investigators. The restraint order is designed to preserve assets during criminal proceedings.
The Thomsons received a £2,000 holiday refund and sold items including a hot tub and horse saddles, with a combined value of nearly £5,800. Michael Thomson previously pleaded guilty to recklessly breaching the order on two occasions. Debbie Thomson admitted to four breaches and received a six-month suspended sentence.
Judge Alexander Milne told the Thomsons their actions were a contempt of court and that the court must take such matters seriously. He described their actions as reckless rather than deliberate but said they constituted an attack on the administration of justice. More than £100,000 in assets has been lost due to their actions, according to the SFO.
Paul Napper, the SFO's head of proceeds of crime and international assistance division, stated: 'Today's outcome sends a clear message that attempting to frustrate an SFO investigation carries serious consequences. We continue to advance our inquiry into LCF on behalf of the thousands of investors who lost everything through its abrupt collapse.'
Separate lawyers offered mitigation for the two defendants. Debbie Thomson's counsel noted she had suffered mental health issues and was living with the couple's teenage daughter. Michael Thomson's assets had been frozen in 2019 as part of the LCF investigation.
LCF went into administration in January 2019, suffering losses of £236 million and affecting 11,605 bondholders, many of whom were pensioners who had invested their life savings. According to the SFO, Thomson funneled money into his wife's unrestrained bank account, spending on a £5,000 Italian holiday, a £5,495 hot tub, a £3,900 riding saddle, £1,170 on a hotel spa in Torquay, and £3,000 at retailer Next.
The money came from a £40,000 insurance payout for damage to a barn on which Thomson never completed repairs. In September 2020, the SFO identified the false insurance claim, but in January 2021, Thomson insisted it was for repair work and not a breach. At the end of 2021, the SFO learned that a further £55,000 stamp duty refund was paid into Mrs Thomson's account in an attempt to hide money. In July 2022, Thomson admitted breach and contempt for both the insurance claim and stamp duty refund but was spared prison at that time.
Judge Milne, who had previously presided over the case, told Thomson: 'It's been urged upon me that your mental health has deteriorated - but there's a limit to how much a crown court can take.' Defence counsel for Debbie Thomson said she had moved in with the couple's daughter and her young child, while also taking HGV lorry driving courses.
