Court told former rich-lister Cathy Jayne Pearce illegally earned $15,000 from welfare fraud

FORMER high-flying Adelaide property tycoon Cathy Jayne Pearce illegally earned thousands of dollars through welfare fraud, a court has heard.

Cathy Jayne Hogben at the Adelaide Magistrates Court, where she is facing welfare fraud charges. Picture Greg Higgs

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FORMER high-flying Adelaide property tycoon Cathy Jayne Pearce has denied illegally receiving $15,000 in welfare benefits, but a magistrate has criticised her “procrastination” in responding to the charges.

The former BRW rich-lister, who now uses the surname Hogben, sought to delay the case in the Adelaide Magistrates Court on Friday to seek legal advice because “I have been living with eight children” and “I have been caring for a terminally ill man” since July.

Commonwealth prosecutors have accused Hogben, 43, of fraudulently receiving the cash from illegal Newstart Allowance claims, dating back more than five years.

She has yet to plead to three counts of obtaining a financial advantage for herself between April 2011 and July 2012 at Glenelg North, Somerton Park and other undisclosed areas.

Hogben — whose fortune was once valued at $19 million — faces a maximum 12 months’ jail for each offence.

Cathy Jayne Hogben (formerly Pearce) with husband Daniel and children Jacob and Levi at their suburban home earlier this year. Picture: Matt Turner.

An arrest warrant was issued last month for the Somerton Park woman after she failed to attend court.

She has since been granted bail and on Friday fronted court, where she told Magistrate Susan O’Connor that she was unaware of the charges until The Advertiser informed her.

Her former husband, prominent real estate identity Myles whom she separated from in 2011, died last month from a brief illness, believed to be cancer, aged 69.

In their heyday, they were high-profile members of Adelaide’s social circuit and lived in a $5.2 million Medindie mansion.

But while Ms O’Connor was sympathetic to her personal circumstances, she criticised Hogben’s “procrastination” — claims that were denied.

Asked if she was pleading guilty, Hogben replied: “No. Not guilty.” Further asked on what basis, she said: “I am seeking legal advice.”

Her defence was “I am not guilty”, but when pressed why, said she wanted a lawyer to argue that “professionally”.

Ms O’Connnor was unimpressed. “I am sorry for your bereavement but you have had since July to apply for legal aid,” she said.

“The fraud is (allegedly) approximately $15,000. You think you will just adjourn this off and you will plead not guilty without disclosing any defence and without getting any legal advice.”

Hogben, who represented herself, said there was a “misunderstanding” with the charges.

She denied having received case documents at her home but could not explain how this occurred.

Authorities allege she falsely represented having not worked, or earned income, when claiming the welfare payments, which are paid to those actively seeking a job.

They further allege she under-declared earnings from Peter F Burns Real Estate Pty Ltd, the Brighton-based agency where her late husband worked.

This meant she allegedly received government money to which she was not entitled.

Court documents assert Hogben — also known as Cait Pearce and Cathy Jayne Staker — falsely claimed to Centrelink she had not worked, or earned any income, during her time with the estate agency.

The magistrate adjourned until next month. Hogben declined to comment outside court.