Boss wrote 'wrong' cheque stubs

Mr Jones was sacked and is taking Cymad to industrial tribunal

The ex-managing director of a Gwynedd business agency has told a court he wrote incorrect information on cheque stubs, but denied false accounting.

Mold Crown Court heard Elwyn Graham Vaughan, 41, former MD of Cymad, paid an employee £680 for overtime, but wrote different names on the two stubs.

The jury heard that Mr Vaughan acted "to make things happen".

Mr Vaughan, of Penrhyndeudraeth, denies two charges of false accounting and the trial continues.

The jury heard how Mr Vaughan wrote two cheques in August 2005 - for £500 and £180 - for Cymad's quality control manager Emma Griffith.

The money was for overtime she had worked on a £1.5m contract which had helped create 25 new jobs at the GALW bilingual call centre at Porthmadog.

Mr Vaughan changed the stub details so it looked like £180 was paid to a company for food and £500 to a business for fixing an answer phone problem.

I was trying to do my best for the company, to make things happen for the benefit of the area Elwyn Graham Vaughan

He told the court he put the misleading information to "throw dust in the eyes" of finance manager Aeron Jones, who had refused to make the overtime payment because of company policy.

Mr Vaughan accepted he had done wrong, but denied acting unlawfully, claiming there had been no attempt to hide his actions.

The true nature of the payments would have been sorted out later with the company's independent accountant, he claimed.

He also denied having an affair with divorcee Ms Griffith, although he admitted once asking her out for a drink before she joined the company.

Based in Porthmadog, Cymad employs around 30 people. It is involved in community development projects and aims to help local businesses.

The court heard how Mr Vaughan's finance manager was not the easiest person to work with.

"Common sense"

"Life would have been made hell for a period of time," Mr Vaughan told the jury.

"I was trying to do my best for the company, to make things happen for the benefit of the area."

He said it was "common sense" for him to make the payment, which he said was later approved by the board.

Cymad chairman Gwynfor Owen said the finance committee and the board did not approve of what had happened.

He said the matter had been dealt with internally and Mr Vaughan had been given a verbal warning.

Mr Jones has since been sacked from Cymad and is due to take the company to industrial tribunal.