The Aviva Premiership club were docked five points and fined £15,000 on Thursday after they were found guilty of fielding an ineligible player.
Scott claimed on RFU registration papers last summer that Tyson Keats was of English nationality when the player was in fact from New Zealand.
The coach went as far as providing the RFU with a false passport for Keats, as well as insisting via a telephone call that the player had emigrated to New Zealand when he was two years old following his birth in Christchurch.
"Mike Scott is suspended from the management, coaching or playing of rugby football union in any capacity or from membership of any club affiliated to the RFU for life," read an RFU statement.
"He may not apply to vary this order for a minimum period of 10 years."
London Welsh confirmed on Thursday that they would be appealing the points deduction and fine.