BusinessCompany NewsFinance worker defrauded Charter of £9m

Finance worker defrauded Charter of £9m

An accountant previously employed at Charter plc stole more than £9m from the British-based engineering company to gamble on the stock market.

Link: Staff the greatest threat to firms’ security

Wing Kit Chu, of Farnham Common, Buckinghamshire admitted 28 counts of theft when he appeared before a judge at Southwark crown court on Friday, 10 December 2004.

Chu, 32, masked his ruse for four years before the company discovered the gaping hole in the accounts earlier this year. He used other employees’ computer passwords to authorise payments under the identities in a ‘well planned series of thefts’, police said, The Press Association reported.

Chu was arrested by the police and charged in September after Charter made a formal allegation of fraud to Scotland Yard.

In a statement issued in August Charter said: ‘Early indications are that a series of unauthorised payments totalling in the region of £10m may have been made. The amounts of these payments appear to have been charged directly to reserves as and when made, although a detailed review of each payment has yet to be completed.

‘To the extent Charter is unable to recover any of the amounts paid out, it intends to seek recovery under its fidelity policy for which cover is limited to £5m.’

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