AN administration assistant who stole more than £780,000 from a plastics firm and spent it on luxury holidays, cars and handbags is bankrupt, a court has been told.

Preston Crown Court heard how Kathryn Jones, 50, had taken £600,000 for herself from MGS Technical Plastics Limited between January 2011 and November 2016, leaving the company in dire straits.

Jones, of Sough Road, Darwen, pleaded guilty to two counts of theft and was jailed for 28 months last year. But the case was brought back before a judge this week to set a date for a proceeds of crime hearing to see what money, if any, can be recovered.

Representing Jones, Jon Close said it was likely financial investigators would be contacting people his client had lavished with gifts.

Mr Close said: “The benefit figure was in excess of £600,000. She has no assets. She is bankrupt.

“It is clear there have been considerable valuable gifts. I think the issue is going to be the recipients of those gifts and how much money they have got.”

The court heard how Jones was an administration assistant and was in charge of paying wages to staff, making transfers, standing orders and had responsibility of the company’s internet banking. She paid herself batches of money, including the sum of £18,000 after an audit review was carried out between April 2015 and March 2016.

Jones’ offending only came after payment discrepancies were identified by accountants. That led to a full audit where it was revealed Jones transferred large sums of money to her bank accounts. She tried to cover up the anomalies by saying she was paying sub-contractors.

But in reality she frittered the money away on a luxury lifestyle.

Jones also gave her co-defendant and former MGS customer service manager, Beryl Ann Shore, an initial loan of £500 from the company accounts. She continued to approve unauthorised payments, which eventually amounted to £184,654.

Shore, 61, had expected the money to be deducted from her £27,000 a year salary but it never was.

Although Shore had never asked for more than the initial loan it was the prosecution’s case that she was complicit in the theft because she did nothing to stop the extra £184,000 being paid into her account.

Last year she was handed a 16 month suspended prison sentence after the court heard she had already repaid £68,000 of the money.

At her own proceeds of crime hearing earlier this year, Shore was ordered to re-pay to the company the remaining £3,199 left in her Santander bank account.

As a result of the women’s dishonesty, the family run MGS Technical Plastics fell into significant financial difficulties and had to cut staff jobs.

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During sentencing, the court was told the company had to fork out £100,000 in legal fees.

Jones’ proceeds of crime hearing was adjourned until September 2.