A former branch manager at MG Scaffolding has been ordered to pay back all the money he gained from fraudulently selling scrap metal.
The 34-year-old had been employed at the Cheltenham based scaffolding firm between September 2017 and October 2018 his job was to oversee the contracts manager and other staff at the company.
Gloucester crown court heard that the man’s fraudulent activity came to light soon after he left the company and the value of the metal that he sold without permission was calculated at just under £6,000, reports Punchline.
Prosecutor, Alec Daymond said: “The amount of fraud was tiny in comparison with the company’s turnover, however it is still detracted from the turnover.”
“The company generated very little scrap metal over the years and this consisted mainly of damaged scaffolding poles or ones that had been cut and no longer met regulations.
“During 2016 the company generated 780kg of scrap valued at £70, the following year it was 1,240kg which generated £119 and in 2019 the company scrapped metal that was valued at £700.
“The normal practice would have been that the metal would have been saved up and taken to scrap metal merchants when there was enough to transport.
“The fraudulent activity came to light after he had left the company on July 30, 2019 when the office manager overheard a conversation between the workmen that there was no need to collect a docket to take with him to the scrap metal merchants.
“The workman explained that he’d previously taken around 40 small amounts to the merchants, but there was never any paperwork involved.
“When the workman arrived at the merchant’s he was asked if the account details was still the same. However, on investigation, it turned out that these details were in fact the bank account belonging to the former scaffolding branch manager.
“The scrap metal merchants revealed that there had been 24 transactions between July 2017 and September 2018 that totalled 59,369kg for which the branch manager had received £5,840.20 into his bank account.
“He abused his position of being branch manager to dupe the scrap metal merchants into paying into his bank account. This was an abuse of trust which was sustained for a period of 18 months.”
In his police interview, the branch manager claimed that there was a ‘gentlemen’s agreement’ to allow this to happen. The scaffolding company denied this was the case. He later accepted that what he was doing was fraudulent.
“He said most of the metal was offcuts and he decided that as these lengths didn’t meet regulations he would send them for scrap for his own financial gain.
“He is prepared to pay the company the amount he gained financially back in full.”
The former branch manager admitted fraudulent activity in that between June 2017 and September 2018 he dishonestly obtained scaffolding tubes belonging to MG Scaffolding and sold them as scrap.
Judge Ian Lawrie QC told him: “You really need to examine your sense of integrity in the light of your offending.
“However, I am pleased that you have found new employment in a completely different career. You do need to be punished, however, for the gross betrayal of trust.
“You will repay the amount you fraudulently gained back to the company.”
The judge ordered that he pay £5,840.20 compensation to MG Scaffolding and be subjected to an 18-month community order that includes 200 hours of unpaid work He also ordered him to pay court costs of £1,822 and a victim surcharge.
