'Significant work' for council hit by £1m fraud

Alan Doig, stole nearly £1m of taxpayers' money to fund his gambling addiction, was sentenced to five years in jail after a hearing in October 2024

A council defrauded of nearly £1m by an ex-employee still has work to do to prevent a repeat offence, a meeting has heard.

Alan Doig, a former finance officer at Gedling Borough Council, was jailed for five years after pleading guilty to fraud by abuse of position and obtaining money transfers by deception over a 19-year period.

His activity was uncovered in 2022 and he was subsequently dismissed.

Auditors examining the authority's accounts said providing assurance the council was making informed decisions and properly managing its financial risks would be a "significant piece of work".

The council's audit committee met on Tuesday to discuss its external audit report on its financial statements for the 2023/24 financial year, which would be checked by Forvis Mazars.

In the firm's annual report of the accounts it found no significant weaknesses in the authority's financial sustainability or how it improves its economy, efficiency and effectiveness, the Local Democracy Reporting Service said.

However, it did find risks of significant weaknesses in the council's governance, referring to how the authority ensures it makes informed decisions and properly manages risks.

Audit documents noted "significant" IT control deficiencies and the "privileged access" given to Doig within the financial system Agresso, which also hindered the completion of the audit.

Car loans fraud

Ahead of his sentencing in October 2024, Nottingham Crown Court heard Doig joined the authority in 1985 as a clerical assistant and worked his way through the ranks, becoming a "popular and credible" employee.

He managed a team of staff with responsibility for payroll and creditor payments, as well as a car loan scheme, and used his knowledge of these systems to make illegal payments to himself over two decades to finance a gambling habit.

His fraudulent activities were eventually uncovered when a member of his team noticed irregularities with the car loan scheme and raised concerns with a senior colleague, the court heard.

After he was dismissed from the authority, a more detailed investigation conducted by Nottinghamshire Police revealed the extent of his offending and uncovered 86 fraudulent payments totalling £934,343.30.