A respected former Royal Navy officer and EU ‘ambassador of the sea’ has been jailed for nearly four years after he scammed his stepson out of nearly £60,000.
The family of former Lieutenant Commander Iain Shepherd, 65, have called for his MBE to be stripped after he swindled the money from Joshua Powell, who has learning difficulties.
Joshua was just 10 when Shepherd, who advised the European Commission on the continent’s maritime strategy, forged his wife’s signature to set up a secret bank account and secure the funds.
Over a period of four years Shepherd pocketed £58,895 from Joshua’s inheritance, which he was given after the death of his father, Stephen Powell – who was a ‘close friend’ of Shepherd’s in the navy.
Iain Shepherd has been jailed for nearly four years after he scammed his young stepson out of nearly £60,000 in inheritance money
Wendy Shepherd with her son Joshua Powell outside Portsmouth Crown Court. The pair have called for Shepherd to be stripped of his OBE
The disgraced former officer, who served in the Falklands, has been branded ‘heartless’ and ‘callous’ by his wife, Mary Shepherd, who is Joshua’s mother.
Shepherd was awarded an MBE in 2015 for his contributions to the maritime industry and after 21 years in the navy ran his own marine and defence consultancy.
A court heard ‘devious’ and ‘calculating’ Shepherd, of Bognor Regis, West Sussex, began targeting Joshua’s £83,000 inheritance in 2006 when he took charge of it while he was bankrupt.
Within days he transferred the money to a secret account under his wife’s name, using a signature he had faked, and began siphoning off the cash.
Prosecutor Mike Mason told Portsmouth Crown Court Shepherd transferred ‘numerous’ cash sums, ranging from £200 to £300 as well as larger amounts of £5,000, to accounts overseas in Italy from 2006 to 2010.
In 2017 his wife grew suspicious and exposed his scam and Shepherd told police he owed Joshua at least ‘£80,000’ in payments and interest.
He has now been jailed for three years and eight months and ordered to pay £19,497 in compensation.
Mr Mason said during the hearing: ‘He not only failed to safeguard Joshua’s interests but he has taken his money for his own use.’
Joshua, now 23, said in a victim impact statement: ‘I would like him to be punished and to go to prison and have his MBE taken away from him and for people to know the despicable apology of a human being he is.’
The University of Portsmouth paleontology graduate had hoped to use the cash from his late father to pay off his student debt, fund his ADHD medication and complete building work at his mother’s home in Chichester, West Sussex.
Shepherd (centre) with his stepson Joshua and Joshua’s mother Mary. Joshua was just 10 when the thefts began
Outside court he added: ‘He was a horrible, devious man. I’m glad he is going to prison. It’s taken long enough.’
His mother added: ‘He is absolutely despicable. What he has done is beyond words. He is a heartless, callous, sociopath. He is the lowest of the low and deserves to be in prison.
‘He is a disgrace to the armed forces, a disgrace to the navy and should be stripped of his MBE immediately.
‘He lied to everyone. He pretended he was this wonderful businessman when really he was a two-faced, compulsive liar.
‘He is like a swan: on top of it, it’s all white and wonderful but underneath it’s all sewage and disgusting. He is just despicable.’
Speaking from the dock, Shepherd said: ‘I apologise unreservedly to everyone that’s been affected by this, for which I’m truly sorry. What I did was firmly dreadful.’
Sentencing, Judge William Ashworth said Shepherd should have never been allowed to be a trustee having been bankrupt at the time.
He added: ‘This was a clear abuse of trust, it was calculated with an aspect of greed.’
Shepherd, who was acting as the president Chichester Chamber of Commerce, admitted fraud and one count of failing to surrender on two separate occasions.
He was given the diplomatic role of EU ambassador of the sea to advise the European Commission on the continent’s overall maritime strategy.