Guilty, council IT expert who stole £1million from his bosses
A COUNCIL worker siphoned off more than £1million from his employer by faking invoices in a seven-year scam.
Financial computing specialist Mark Conway diverted public money to his own accounts after running up online gambling debts.
The 52-year-old went on to defraud Dundee City Council of £1,065,085 during his crime spree before he was suspended from work – on full pay – last year.
Only £7,337 of the cash has been recovered.
Yesterday, at the High Court in Edinburgh Conway admitted obtaining the money by fraud between 2009 and last year.
Judge Graeme Buchanan, QC, indicated the only sentencing option open to him would be prison. Remanding him in custody, he told him: ‘There is really only one possible disposal.’
But the conviction has raised questions over how council bosses failed to notice the missing funds for such a long time.
Conway, formerly of Brechin, Angus, made entries in the council’s computer system pretending to represent sums due to genuine suppliers.
But rather than making transfers to them he had the funds paid into his own bank and building society accounts.
Advocate depute Rosemary Guinnane said: ‘He was the council’s primary specialist in financial IT systems, given wide access to computer systems.
‘During 2009 the accused had become indebted due to his use of gambling websites.
‘In an effort to obtain further funds to pay off a credit card bill, the accused created an entry to reflect a legitimate sum invoiced by Scottish Fuels.’
But the invoice contained the account details of Conway’s Nationwide building society account rather than that of Scottish Fuels. Miss Guinnane said: ‘This invoice was for £17,912 and was paid without question by the council the following day.’
Conway made further entries which were paid by council officials who believed they were making legitimate payments.
Miss Guinnane said: ‘As the majority of the ledger entries were marked Scottish Fuels it is believed the volatility of fuel prices along with the variability of usage contributed to none of the payments being questioned.’
Up to April 2013 the council made 17 payments recorded as paid to Scottish Fuels but put into Conway’s accounts. From June of that year he became bolder, using the names of other suppliers to take more cash.
In May last year suspicions were aroused when an employee noted payment to a building firm had been sent to a Nationwide building society account.
On May 25 Conway created a Scottish Fuels invoice, but using
‘No payments questioned’
his own Santander bank details. Senior officials made aware of the discrepancy suspended him and auditors were called in.
Miss Guinnane said: ‘They also identified various weaknesses in the council’s accounting practices that allowed the fraud to remain undetected for so long.’
Defence counsel Gavin Anderson said Conway had previously made ‘full admissions of guilt’.
The Crown has raised proceedings to seize any available crime profits made by Conway.
A Dundee City Council spokesman said: ‘This individual is no longer employed by Dundee City Council.’