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News

£7m fraudster freed over his flashbacks to the Holocaust
Last updated at 23:24pm on 30th March 2007

Comments (5)

'A heavy burden': Mendel Rand

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A Holocaust survivor who experienced flashbacks to his war ordeal after he
was jailed for his part in a £6.9million money laundering operation was freed as
an 'act of mercy'.

Since being incarcerated five weeks ago, 76-year-old Mendel Rand, originally
from Poland, had relived daily the trauma of being kept hidden from the Nazis in
horrible conditions as a boy, the Court of Appeal heard.

Mr Justice Openshaw accepted that 'the wretched old man' had suffered enough
punishment for his involvement in the crime which had brought shame to his
family and disgraced him in the eyes of his strict community of Hasidic Jews.

"The resultant shame will no doubt bring a heavy burden for him to carry for
the rest of his life," said the judge. "We think, as an act of mercy, he should
be allowed to go free."

Rand's 18-month prison term was replaced with a two-year suspended sentence.
He will face a confiscation hearing next month.

Rand was convicted in November 2004 of a money laundering conspiracy, which
involved helping cigarette smugglers dispose of the proceeds of their crime.

He was jailed in February this year after a delay caused by legal debate on
the general issue of money laundering and by the ongoing trials of his
co-accused.

Jonathan Goldberg QC, appearing for Rand, called on the appeal judges in
London to suspend his client's sentence in an 'act of compassion'.

He said a rabbi from Rand's community, who had visited him in jail, said his
incarceration was 'bringing back nightmares of his war experience as a young
man'.

A report to the court said Rand, of Golders Green, North London, was an 'old
and frail man who had experienced severe trauma in his lifetime' and was having
flashbacks about the war.

Mr Justice Openshaw said that when Rand's parents were arrested in Krakow
during the Second World War, their son was kept hidden from the Nazis by a
sympathiser 'often in cellars in the cold and dark, often under-nourished and,
of course, in constant fear of capture'.

"This experience has cast a pall over his whole life," the judge added. "Now
he daily relives the experience."

The judge, sitting with Mr Justice Walker, heard that Rand was a businessman
held in high esteem before his conviction.

However the judge noted that Rand's standing in the community was what
enabled him to play a key role in laundering the proceeds of cigarette
smuggling, as his legitimate business contacts allowed him to move large sums of
money 'without raising suspicion'.

On August 7, 2002, Rand was observed picking up a holdall in Newcastle which
he dropped off in Manchester at the home of the man who was believed to be
leading the cigarette smuggling conspiracy. Customs officers struck and
recovered £220,000 inside.

They then found a ledger at Rand's home detailing entries appearing to
correspond with the movement of £6.9million over eight months. The judge said
Rand appeared to earn a commission of £63,000.

Mr Goldberg said that, aside from the effects of imprisonment, Rand's
circumstances meant his punishmentwas harsher than would be experienced by a
normal citizen.

His client was once a stalwart of his Hasidic community where - much like the
Amish in Pennsylvania - television, computers and other outside influences were
banned.

Such an emphasis was placed on being law-abiding that his client was now
disgraced.

The court also heard that Rand's wife had been severely injured in a car
accident and was housebound without his care.

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5 people have commented on this story so far. Tell us
what you think below.

Here's a sample of the latest comments
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all to read all comments that readers have sent in.

One justice for the rich, one justice for the rest of
us.

- Brian Cosworth, Banbury, England

Poor man. Maybe the government should pay him some kind of
compensation.

- Martin W., Berlin, Germany

Outrageous... Send him back to prison...

-
Garry White, London

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