Army major awarded MBE for charity work is found guilty of defrauding MoD out of £13,000

A major in the British Army who was awarded an MBE for his charity work has today been found guilty of defrauding the Ministry of Defence out of £13,000.

Royal Engineer Lloyd Hamilton misused taxpayers’ money to send his children to one of the country’s most expensive boarding schools. 

The father-of-two, who had been based in Cyprus at the time, was only allowed to claim allowances while his wife Liz was living with him.

However, after a breakdown in their marriage, his wife, a Cambridge-educated IBM manager, remained at their £500,000 four-bedroom home in Hamble, Hampshire.

Royal Engineer Lloyd Hamilton (pictured) has today been found guilty of defrauding the Ministry of Defence out of £13,000 at Bulford Military Courts, Wiltshire

Major Hamilton, 47, was cleared of a second count of fraud relating to more than £25,000 after the court heard evidence he made claims while believing his marriage would survive and that his wife would join him in the Mediterranean.

He sent his wife texts saying he knew he was being investigated for fraudulently claiming £38,892 worth of fees for sending his children to Queen Elthelburga’s Collegiate in Yorkshire. 

Prosecutors alleged most of the fees at the £49,875-a-year school were paid for fraudulently when the Major knew he was no longer eligible. 

Bulford Military Courts, Wiltshire, heard that between July 1, 2017, and August 1, 2018, Major Hamilton had been based at RAF Akrotiri, Cyprus.

Today, a panel found him not guilty of one charge of fraudulently claiming £25,964 between July 2017 and January 2018.

The father-of-two, who had been based in Cyprus at the time, was only allowed to claim allowances while his wife Liz was living with him

The father-of-two, who had been based in Cyprus at the time, was only allowed to claim allowances while his wife Liz was living with him

However, they found him guilty of fraudulently claiming £12,964 between January and August 2018 when he knew his wife would not be coming to live with him.

Throughout the 12-month period there were ‘substantial difficulties’ in the couple’s relationship and Maj Hamilton told his wife he thought it was best if she remained in the UK. 

Over the course of the trial the court heard he told friends he ‘didn’t want to continue walking blindly through life’ just for the children and wanted a divorce.

In text messages sent in September 2017 his wife, a Cambridge educated IBM manager, begged him to give their marriage a chance.

She said: ‘I love you and want to try and stay married. I would be lost without you please don’t stop talking to me I love you.’

After a breakdown in their marriage, his wife, a Cambridge-educated IBM manager, remained at their £500,000 four-bedroom home (pictured) in Hamble, Hampshire

After a breakdown in their marriage, his wife, a Cambridge-educated IBM manager, remained at their £500,000 four-bedroom home (pictured) in Hamble, Hampshire

Prosecutors also said trips made to Cyprus by Mrs Hamilton were taken just to maintain the ‘façade’ that they were still together. 

In early 2018, Major Hamilton sent messages to his wife telling her he suspected his continuity of education allowance (CEA) claims for thousands of pounds were being questioned.

The average salary for a Major in the British Army is around £54,000 according to the Ministry of Defence.

In one text, he said: ‘So there are a lot of indications that work are looking into why you are not here. Ff this leads to me being investigated I will be f*****g fuming.’

Prosecuting, Commander Peter Barker said: ‘The allegation was that having submitted a claim for CEA he failed to disclose information he was under a duty to disclose and that information was that was his wife, Mrs Hamilton, was not living with him in the service family accommodation in Cyprus*

Today, a panel found him not guilty of one charge of fraudulently claiming £25,964 between July 2017 and January 2018. However, they found him guilty of fraudulently claiming £12,964 between January and August 2018 when he knew his wife would not be coming to live with him

Today, a panel found him not guilty of one charge of fraudulently claiming £25,964 between July 2017 and January 2018. However, they found him guilty of fraudulently claiming £12,964 between January and August 2018 when he knew his wife would not be coming to live with him

‘In this case the crown say over the entire period of the charges, a period of 397 days, the allegation was that Mrs Hamilton was not living at the work address.

‘In fact, she only spent 99 days in Cyprus, 25 per cent of that time.

‘The crown say that the marriage was in substantial difficulties and then broke down irretrievably.’

In order to claim the education allowance, a partner’s spouse can only be away from their work address for 90 days over a year long period.

After having been found guilty, Major Hamilton will be sentenced at Bulford Military Court (pictured) at a later date

After having been found guilty, Major Hamilton will be sentenced at Bulford Military Court (pictured) at a later date

Commander Barker told the court that Maj Hamilton’s two children, a daughter aged 12 and in year 7, and a son, then 10, and in year 5, both attended Queen Elthelburga’s.

The school is ranked as one of the most expensive boarding schools in the country.

Maj Hamilton is one of the founding members of Toe in the Water, a tri-service charity that uses competitive sailing to re-inspire injured servicemen and women to see beyond their injuries.

After having been found guilty, Major Hamilton will be sentenced at Bulford Military Court at a later date.