Lender guilty of rape and assault

Paul Nicholson raped one of his impoverished clients

A loan shark who raped a client and threatened to petrol bomb another woman's house has been convicted of rape, blackmail and assault.

Paul Nicholson, 39, extracted thousands of pounds from hundreds of poor people in Cheshire through intimidation and assault, Warrington Crown Court heard.

He pocketed at least £648,000 between June 2007 and March 2008 by charging interest rates of up to 125%.

Nicholson, 39, of Delamere, Cheshire, will be sentenced later.

As well as 12 counts of blackmail, he was also found guilty of illegal money lending, lying about his criminal record, operating without a licence and acquiring criminal property.

His partner Tracey Rogers, 38, also of Golf Course Drive, Delamere, was convicted of blackmail, operating without a licence and acquiring criminal property.

Brian Shields from Runcorn was just 22 when he killed himself because of his debt

Nicholson and Rogers acquired enough money to buy a Land Rover, a Porsche Carrera and a £1m house adjoining a golf course.

The former nightclub doorman, who has convictions for possessing a stun gun and supplying steroids, forced one woman who owed him money to perform a sex act on him.

He told another woman she could work as a prostitute to pay off the money, while another was told: "You better get the money in fast or you'll be getting a couple of visitors."

One man, 22-year-old Brian Shields from Runcorn, borrowed £300 from Nicholson, but within 12 weeks that debt had risen to £3,400.

Soon afterwards, he committed suicide and his mother, Carol Highton, blames his death on the intimidation her son received.

She has since set up the Brian Shields Trust, to advise anyone who is in debt to loan sharks.

'Sexual impropriety'

Nicholson and Rogers targeted more than 800 poor people across Widnes and Runcorn.

Senior investigating officer Det Insp Giles Orton said: "These people should be applauded for bringing to justice a pair of loan sharks.

"Paul Nicholson and Tracey Rogers created a climate of fear with violence and intimidation and Nicholson even used sexual impropriety to enforce debts.

"The court heard first-hand from witnesses who were subjected to terrifying threats and intimidation which had a terrible effect on their lives.

Tracey Rogers was involved in the money lending company

"Their moral courage to stand up to Nicholson's wickedness was key to achieving justice."

Nicholson was given a consumer credit licence, allowing him to lend money, in February 2002.

But he continued operating his business after the licence expired in June 2007 and set up another business - Falcon Securities Ltd - without revealing his conviction for steroids and the stun gun.

Peter Astley, trading standards manager at Warrington Borough Council - which jointly ran the inquiry with Cheshire Police - said Nicholson would often target vulnerable single mothers.

"This was systematic abuse of really vulnerable people and he made a lot of money on their backs," said Mr Astley.

Nicholson was remanded in custody and Rogers was released on bail. Both will be sentenced on 20 March.