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Jon Clarke & Walter Finch
EXPAT fashion chief Jody smart has lost an appeal against a conviction of fraud for her role as a suspect in the Continental Wealth Management scandal.
Despite being implicated in the massive €35 million fraud that saw hundreds of mostly British expats in Spain lose much or even all of their pensions in 2017, Smart had so far managed to dodge jail.
Alicante’s court of justice convicted her in April 2014 for fraud.
The trial was focused on three CWM victims who brought a limited set of allegations after an earlier trial that attempted to prosecute all the fraud in 2023 had failed.
The judge found Smart guilty quickly, given the simplicity of the case. She was ordered to pay the victims a total of €370,00 and serve three years and six months in jail.
READ MORE MY SIGNATURE DOES NOT APPEAR: British fashion boss Jody Smart to appeal CWM fraud conviction denying ‘thousands of expats were affected’ in giant pension scam
However, the celebrations from the many CWM victims were muted when Smart appealed the verdict, buying her a few more months of freedom – until now.
The Olive Press reported that lawyer Carlos Coll Miralles who represented the victims said, “It is great to see the High Court of Valencia back the verdict and Jodie will be just a few steps away from prison.”
“But, finally, she deserves to serve three and a half years in prison.
“The truth is that I am saddened by the fact that this case continues to rumble on after so many years. And I won’t be happy until she pays all of my clients.”
READ MORE EXCLUSIVE: CWM founder breaks silence to deny €35m fraud which devastated hundreds of expat retirees in Spain – and points the finger at bigger boys
The judge heard how Smart had deliberately defrauded one victim, Tim Benjamin, out of €300,000 for a property that never existed.
A second, Sally Anne Hodgson, was duped into lending €70,000 to Smart’s firm under false promises of repayment before the company collapsed weeks later.
But the most tragic case was that of Mark Davidson, who was scammed out of €800,000, but passed away before the verdict was reached.
READ MORE Exclusive: British fashion boss Jody Smart found guilty of fraud for swindling thousands of expats of their retirement funds in Spain
Coll said, “She destroyed many lives and took millions of dollars. Her sentence is a small price to be paid.”
Smart now has a dwindling number to appeal yet again – this time to Spain’s Supreme Court in Madrid.
Coll does not believe that Smart, who is a seasoned professional in the field of filing documents, will even try to file them before October 27.
The lawyer stated that “she has a few more days to appeal but I don’t see any reason for her to be successful.”
“Nothing’s changed, and it will cost more money that she claims to not have.
He said: “But I am sure that she has hidden away a large amount of money in tax havens off shore.”
The lawyer who is a campaigner, and who has his office in Ondara (Alicante), continues: “The issue is the money. It is hard to embargo things in her name… I can’t find anything.
READ MORE EXCLUSIVE – Expat fashion boss Jody Smart goes from catwalk queen, to alleycat, after investigation over an alleged multimillion dollar investment fraud
She’s making it very difficult for me to get her money, and I doubt she’ll pay voluntarily.”
The former fashion boss had previously told the Olive Press she was appealing on the grounds that her signature ‘did not appear on any loans between individuals’.
The CWM scandal was the root cause of this trial. Its collapse eight years earlier devastated the lives and livelihoods of many expats.
Smart was found to be the only administrator of a Continental Wealth Trust company, and the court named her former partner Darren Kirby in the scheme.
Kirby was the only administrator and partner at CWM before it became CWT.
Amazingly, at least a half-dozen other senior employees have also managed to escape justice.
A separate court in Denia ruled in 2023 there was ‘insufficient evidence’ to prosecute four executives in a decision that devastated the victims.
READ MORE EXCLUSIVE: Inside the Costa Blanca’s €35m CWM pension fraud – as justice is finally served
Smart’s lawyer went on to defend her glamorous lifestyle, which he said was the ‘product of years of hard work’.
He insisted there should be ‘no objection to how my client spent her money.’
Her popular Benissa restaurant Oceania is ‘a business that generates employment and added value and had nothing to do with the legal proceedings’.
The Isle of Man also has a number of civil cases that are being heard by the courts.
When contacted by The Olive Press, Smart did not respond to any questions.
The Olive Press has more Costa Blanca News. Click here to read it.
