Loan shark who charged borrowers 40% interest told to pay victims thousands

Tabitha Richardson, 83, of Newport, left one couple "trapped in a cycle of debt" and having to pay back more than their income every month. Officers from the Wales Illegal Money Lending Unit (WIMLU) visited the defendant on August 30, 2022, after receiving information about her illegal activities. She had previously held a licence which allowed her to lend money legally but this had lapsed and she knowingly carried out her practices when unlicensed.

A search was carried out at Richardson's home in Nash Road and a safe was found in her garage. She initially claimed it contained property deeds and she had lost the key, but a locksmith was called out to break open the safe, which was found to contain £6,550 in cash. Also seized were bank books, lending books, files and various bits of paperwork.

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Richardson lent a total of £126,000 while unlicensed. One couple received threats from Richardson through text messages when they failed to make repayments. They were in receipt of benefits and were unable to work due to their health conditions, but their loan repayments got to the point where they were paying back more than their monthly income, at £1,400 a month.

When they missed payments, Richardson text the male victim "Just ring me, you know I can find you" and "You have got to speak to me and let me know what's going on before I come looking for you". The male victim borrowed £31,000 and paid back interest in the region of £12,400. The female victim also received threatening messages, with Richardson texting her "I don't want to come and look for you but you're not leaving me any other thing to do. Let's not fall out, we have known each other for a long time". She borrowed in the region of £46,300 and paid back £18,600 in interest.

A man living in Pillgwenlly first borrowed £2,000 from the defendant to cover the costs of Christmas, and she would attend his home on a weekly basis to collect repayments. He went on to take out two to three loans a year and believed Richardson was employed by a registered company. He was charged 40% in interest and paid £765 in interest from a loan of £1,850 while the defendant was unlicensed.

His daughter also took out loans with Richardson as far back as the 90s, and would pay interest of 40%. The woman's husband and brother-in-law also took out loans with the defendant. A bag was found in Richardson's home with the victim's name on it, which contained £150 and had been posted through her letterbox. While the defendant was unlicensed, the victim paid £3,200 in interest from a combined loan of £8,500.

Another victim began borrowing money from Richardson in order to keep up with his mortgage repayments. He was told the defendant was working for a company called "Harity" but no such company was found to exist in the subsequent investigation. The court heard another victim paid £600 in interest for a loan of £2,000, and another victim paid £240 in interest for a loan of £600.

Richardson was interviewed under caution in November last year and said she had been legally employed as a money lender since the late 1970s but admitted lending money illegally since 2016. She claimed people approached her to lend money with loan repayments made in cash and she kept records.

She later pleaded guilty to engaging in activity requiring a licence when not a licensee, carrying on a regulated activity when not an authorised/exempt person and money laundering. The court heard she had no previous convictions, and she was sentenced to 24 months imprisonment, suspended for two years, in August last year.

At a Proceeds of Crime Act (POCA) hearing at Cardiff Crown Court on Monday, Richardson was found to have benefited from her illegal practices by £173,195. The court heard she had available amounts of that sum which would be achieved through the sale of a property. Judge Hywel James ordered the defendant to pay that sum, of which £35,285 will be used as compensation for her victims.

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