A former finance chief has pleaded guilty to fraud worth £1.3 million, which directly led to the financial collapse of a homeless charity.
Robert Mark Davies the ex-head of finance at Swansea-based Cyrenians Cymru entered a guilty plea at Cardiff Crown Court this month, (April 2017) following his arrest back in December 2014 for ‘fraud by abuse of position.’
The malpractice came to light following an investigation by the South Wales Police Economic Crime Unit.
Following the financial irregularities, the charity – which had been in existence for more than 40 years and helped tackle homelessness and poverty – was forced to declare itself insolvent, with the loss of 20 jobs.
Prosecutors told the court that Davies had entered a “complex” basis of plea, stating the fraud was not against the charity, but against European funds and that the fraud was a major factor in this charity ceasing to exist.”
Davies, who is due to be sentenced next month and has been warned he faces a lengthy custodial term, also faces a separate hearing under the Proceeds of Crime Act.