A branch manager for a decorating supplies firm fleeced the company out of £40,000, flogging paint for cash and then pocketing the money for himself.
George Smith (33), a father of three from Northwich in Cheshire, used the money to buy drugs, alcohol, and prostitutes. A court was told.
Smith, a £27,000-a-year manager at the Trafford Park branch of Bromborough Paints, sold paint and wallpaper to decorators for cash and then fiddled the books to cover up his crime.
He joined the firm in September 2016 and was ‘in a senior position with a high degree of trust’, prosecutor Rachel Widdicombe told Manchester Crown Court on Friday afternoon.
George Smith, 33, a branch manager for a decorating supplies firm, fleeced the company out of £40,000, flogging paint for cash and then pocketing the money for himself. A court heard that he spent the money on prostitutes and alcohol, as well as drugs. (He was pictured at Manchester Crown Court, Friday).
“He was also expected set positive examples to the rest of his team,” she stated.
But his thieving came to light when the firm’s finance director and his friend, Giuseppe Alfonso, spotted a discrepancy of £5,000 during an audit in May 2019.
It was Smith’s individual account log-in that created it.
This ‘adjustment was made in January 2018, 18 months after Smith began working at Bromborough.
Smith was suspended and an investigation by the firm concluded he was behind the theft, mostly of paint but also some wallpaper, worth £61,184, said Ms Widdicombe.
He had started off stealing goods worth £348 in January 2018 but gradually the value of his crimes increased, to £5,729.
Smith blamed company training at the beginning of a conversation with Alfonso. But when the police informed him that the crime would soon be brought to his attention, Smith “accepted his responsibility,” according to the prosecutor.
His employer told him that he was in a rut and had become addicted to drugs, alcohol and prostitution. To hide his crime, he admitted that he had sold paint to decorators in return for money.
Smith’s bank statements indicated that Smith had taken ‘numerous money withdrawals’, and the money was used on takeaways and hotels while there were no obvious expenses such as rent and mortgage.
He declined to comment despite his statements during the meeting. According to the prosecutor, when he was charged with theft by the magistrates, he denied that offence.
Investigators were told by Mr Alfonso that Smith was a good candidate and that Smith had earned his trust.
A victim impact statement was read to Alfonso by the court. He stated that staff bonuses were cut and that the number of branches managers who had permission to work on their accounts systems also decreased ‘due the actions of one person’.
He stated that he had a breakdown and was in tears upon realizing how large the theft was during his meeting with Smith.
According to Mr Alfonso, he was at Smith’s charitable events and had to tell Smith’s brother and mother that Smith had been robbed.
Smith was recalled by him as a ‘distressed mother’. He said that Trafford Park decorators had come to the Trafford park branch asking for the same deal Smith offered.
Smith – a £27,000-a-year manager at the Trafford Park branch of Bromborough Paints (above, now known as PaintWell) – sold paint and wallpaper to decorators for cash and then fiddled the books to cover up his crime. A 21-month sentence was handed to Smith.
Alfonso claimed that customers were made to feel like they were being robbed.
He stated that he had taken a lot user rights from the branch managers, which left an impression on honest and hardworking people.
“I considered him a friend rather than a coworker at work,” he said. He added that he could not believe the dishonesty he displayed in his actions.
According to him, the crime had caused a “ripple effect” on staff because ‘trust had well and truly been broken.
He said, “As a financial director, I found myself working as an adjective detective, which has caused me undue stress.”
Simeon Evans, the defender, stated that his client believed others had gained access to his account through his job, even though Smith did not intend to minimize his crime.
Smith submitted a ‘basis of plea’, accepted by the prosecution, stating he was only responsible for theft worth £40,000.
Evans said that defendant had doubled the sales of his firm during his time there and was also a good employee in every way.
The judge was asked to release his client from prison. He stressed that he had never been convicted of a crime and that it would eventually come back to him.
He ‘never envisaged’ the impact on colleagues who remain at the company, said the barrister.
Evans claimed that his client was afraid and had to resile from the admissions that he made to his bosses. He finally appeared before the courthouse, where he denied all charges.
Smith said he was deeply ashamed, but pointed out the “breakup of his marriage” around the time that the theft occurred, which, according to him, applied pressure to his character.
After having ‘invested in’ his spouse and children, the defendant felt that they had been ‘abandoned’.
Smith’s brother and mother watched the event from the public gallery. Mr Evans stated that it was a shock for the entire family. This is not the way they had expected. They have struggled to cope with it but continue to support him.
Evans said that the father of one defendant’s children had been diagnosed as having autism. Mr Evans also stated that he would have difficulty if his son was taken to prison.
Sentencing, Judge Hilary Manley told Smith: ‘You stole over a 16-month period £40,000 from your employers. You were in a position of significant trust, employed as a branch manager on around £27,000 a year which is considerably more than many people around the UK.’
“You wasted your money in nightclubs, restaurants, and prostitution services,” she said. It is all gone.
Judge Manley said that trust was broken for those staff members still employed by the firm as a result of the changes implemented to stop such crimes from happening again. Bonuses have also been reduced.
She observed that the defendant was a loving child and that the breakup of his marriage had “caused distress and anguish”.
She said that Smith was guilty of using the funds for drugs, alcohol, and prostitution. Judge said Smith was not remorseful.
The judge concluded that Smith was guilty of a “selfish lifestyle” and that a custodial sentence was appropriate.
Smith did not react when he received a 21 month sentence in jail. Smith waved at his brother and mother as he was removed to start his sentence.
At a prior hearing, the defendant from Violet Grove, Northwich admitted to one count of theft.