A PRISON governor has been found guilty over an illicit relationship with a jailed drug dealer who gifted her a £12,000 Mercedes.
Kerri Pegg was seen as a “rising star” in theService and quickly rose through the ranks to become governor at HMP Kirkham in.
But her career is now in ruins after she failed to “play by the rules” and with inmate Anthony Saunderson.
Pegg, 42, has now been found guilty of two counts of misconduct in a public office.
One relates to her fling with Saunderson and the second by failing to disclose county court judgements about her debts.
She was also convicted of one count of possessing criminal property, the Mercedes car, from Saunderson.
Preston Crownheard Pegg released Saunderson on licence in 2019 despite not having the authority to approve the bid.
After he was granted his freedom, the prisoner used his drug-peddlingmoneyto buy Pegg thecoupe.
On April 6, 2020, Saunderson was sent a message on Encrochat saying “car her for ya bird 12 quid or work” and a photo of the vehicle.
The court was told “12 quid” meant £12,000 and “work” meant .
Saunderson asked “what work they want” and he was told “top or weed” – meaning cocaine or .
Two days later, he arranged for “17 packs” to be dropped off into pay for the car.
The Mercedes was registered in Pegg's name, with a pal messaging Saunderson: “Where u ya seedy man u and Peggy out floating orrel in the new whip?”
Law enforcement agencies cracked the criminal's Encrochat and discovered he was involved in drug trafficking, which he has since been convicted for.
The court was told other messages revealed the “ongoing nature” of his relationship with Pegg.
searched her home on November 19, 2020, and found a toothbrush and flip flops containing Saunderson's DNA.
Officers also discovered a haul of designer clothing and found Pegg was subject to a number of county court judgements for unpaid debts.
Prosecutor Barbara-Louise Webster said: “Her downfall was two-fold, the first, despite having a good income, she lived beyond her means.
“She spent all her income and more, incurring debts and she had county court judgements made against her.
“As a consequence, she became vulnerable and open to exploitation.
“The second was that she became emotionally and personally involved with a serving prisoner, Anthony Saunderson and later accepted an expensive car, a Mercedes C class, which was paid for by him out of his proceeds of criminal activity ie trading in drugs.”
Pegg joined the prison service in 2012 as a graduate entrant and worked at prisons in Risley, and Styal.
By April 2018, she was a governor at HMP Kirkham, where Saunderson was serving a lengthy jail term.
From the start, there were concerns about Pegg being inappropriately close to prisoners.
It was also noted that she spent a lot of time in her office with Saunderson.
In October 2018, he put in a request to be released on temporary licence.
Despite Pegg not having the authority to green light his release, she intervened and approved his application without notifying the official who should have dealt with the case.
Days later she was moved to another jail, later becoming duty governor at HMP Lancaster Farms.
Pegg, who denied the , will be sentenced at a later date.
