Gateshead bank boss who fleeced employer out of £87,000 ordered to pay back £23,000

Benjamin Hannington stole £87,000 from TSB to fund his gambling and drug addiction
-Credit: (Image: Newcastle Chronicle/Northumbria Police)


A bank boss who abused his position of trust to fleece his employer out of £87,000 to fund his gambling and drug habits has been ordered to pay back some of his ill-gotten gains.

Benjamin Hannington, who was an assistant manager in TSB's fraud operations department, transferred large sums to himself under the guise of them being customer refunds. Using inside knowledge obtained through his role, he got away with it for 21 months before a colleague discovered what he was up to.

We reported previously how Hannington, 43, of Knightside Gardens, Gateshead, who was gambling around the clock fuelled by cocaine, was given a suspended prison sentence by a judge at Newcastle Crown Court. Now he has been back before the court for a Proceeds of Crime Act hearing.

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The court heard his benefit figure from the offending was £87,750 and he has £23,837 available, from the sale of his matrimonial home in Washington. He has to pay back that figure within three months or face three months in prison in default.

Hannington, who represented himself, said: "That is absolutely all that I have available," adding: "I haven't been part of the house sale, if that's what Your Move are saying then I agree."

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The court heard previously that Hannington had worked for TSB since 2007 and had reached the position of assistant manager in the fraud operations department, where his role was primarily to arrange refunds to customers' bank accounts. But between October 2020 and July 22, in Gateshead, he made 19 payments to two personal accounts belonging to himself, totalling £87,750.

Neil Jones, prosecuting, said: "The technique used was he would email those in his department and seek refund payments for individual named recipients. The payments came into his bank account and on some occasions the email trail made it look as though he had requested authorisation from a senior manager but in fact that was bogus and he was sending emails to himself.

"Given his position in the fraud prevention department he was in a unique position to authorise himself. There were three or four payments where authorisation had been sought by email. Throughout, senior management had not received those emails.

"The m.o. was a request from him in his capacity as fraud manager to his own team to make the transaction then he would substitute his own account details so it appeared to be going to a legitimate recipient but was going to him."

The court heard the fraud was discovered by a TSB fraud investigator. Mr Jones said: "The defendant explains how his position was, as described by him, professional standards manager. He said he committed the offence of fraud using his position to fund a gambling and drug problem."

Hannington pleaded guilty to fraud by false representation and was sentenced to two years suspended for two years with a drug rehabilitation requirement.

Nick Lane, defending, said Hannington was "deeply ashamed" and added that no customers lost out of fell under suspicion. He said part of Hannington's role was to ensure refunds were sent to customers who had moved their accounts elsewhere and he used details from previous refunds to make the fraudulent transfers.

Mr Lane said: "He was struggling with a gambling addiction at the time and had also become addicted to cocaine. He was essentially gambling 24 hours a day and using cocaine to keep him alert.

"He had informed his line manager he had a problem with gambling. He said it was something of a relief to him when his offending was discovered."

Mr Lane said Hannington had now quit gambling and drugs and his girlfriend has control of his finances. He lost his job but is now self-employed and earning £150 a week. He added: "He has lost his good name and lost his career and has suffered stress and anxiety."