A 45-YEAR-OLD woman has been found guilty of running a brothel in York.

Pamela Dawson, who had denied the charge, is now to lodge an appeal against the conviction at York Magistrates Court.

Police raided the brothel - situated only yards from a primary school in Fishergate - in July last year.

They arrested two women dressed in white smocks and high heels.

The swoop followed extensive surveillance and two visits to the premises by undercover officers posing as customers.

Officers found a naked man and woman on a four-poster bed, as well as pornographic videos, condoms, a nurse's uniform and rubber clothing.

Dawson, of Fishergate, who had leased the shop and living accommodation for £10,000 a year, claimed during the two-day trial that she was not aware of any sexual activity taking place there.

She said she was running a grooming salon for men, and denied all knowledge of prostitution and the sex items found in the house.

She also denied knowledge of the premises being listed in an explicit magazine.

But after more than three hours of deliberation, the Bench concluded that it was beyond belief that Dawson would not have known what was going on beneath her roof.

Chairman Joan Visick said: "We find it not credible that a person ... would have no knowledge of a large quantity of items of a clearly sexual nature spread throughout the premises.

"Nor do we find it credible that she was unaware of the sexual acts of her employees."

During the trial, two undercover police officers gave evidence from behind a screen to protect their identities.

One said that the woman massaging him listed for him the various sexual activities offered at the brothel for £40.

Dawson was fined £250, with £100 prosecution costs.

Detective Inspector Andy Bell, of York police, said today: "We believe we were right in bringing this case to court - the brothel was near a school and this was a quality of life issue."

Updated: 09:58 Saturday, February 10, 2001