Madam in court cash battle

A MILLIONAIRE madam faces a battle with the Crown to avoid losing a fortune, said to have been made running two lucrative brothels.

Karen Peachey, 49, of High Road, Leyton, was at Southwark Crown Court with her actress daughter, Jane, of Epping New Road, Buckhurst Hill, to be told the Crown intended to confiscate £1m from her.

The 46-year-old previously pleaded guilty to two charges of controlling prostitution, from her two saunas, Bexley Sauna, in Bourne Road, Bexley, and Kings Sauna, in Leyton High Road, between January 1996 and June last year.

Peachey's daughter, Jane, 26, who hopes to launch a Hollywood career in acting, became a part-time receptionist at her mother's saunas, while "resting" from her own career.

She pleaded guilty to two offences of aiding and abetting prostitution at both saunas between January and July last year.

Jane, who has appeared in the ITV1 drama The Bill, was conditionally discharged for 12 months earlier this year for her part in her mother's sex business.

John Jones, prosecuting, said more than £1m was banked by Peachey between August 1996 and June last year, which he said was all liable to be made forfeit to the Crown. But Peachey maintains that only £271,000 came from prostitution.

Peachey will not be sentenced until after confiscation proceedings in October.

Adjourning the matter, Judge Peter Fingret said: "I can see all sorts of difficult arguments as to what is legitimate in a massage parlour and what is not."

Addressing Peachey's daughter, Jane, the judge told her: "You were involved in a pernicious and lucrative trade which could properly result in a prison sentence. However, I accept you were on the fringes of the operation and indeed, only involved on rare occasions as a receptionist at the premises."

Bernard Tetlow, defending, said Jane only worked at the saunas on an "ad hoc" basis, and in addition sometimes accompanied her mother to open and close the premises.

Mr Tetlow added Peachey had assets to meet a £271,000 confiscation order the part that she declared to be from prostitution.

11:55 Thursday 1st August 2002

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