Council worker stole £900k from benefits claimants

A council worker has been jailed for stealing nearly £900,000 from the accounts of benefit claimants, including 43 who were deceased.

Richard Shaw, 46, of Harrier Close, Bolton, was sentenced to four years and eight months in prison after helping himself to £893,296 from benefit accounts held by Bolton Council between 2015 and 2023.

He initially denied fraud by abuse of position but changed his plea to guilty at Bolton Crown Court in December 2025.

Stephen Pendered from The Crown Prosecution Service said Shaw "callously exploited" vulnerable people.

Shaw, who was a member of Bolton Council's financial protection team, managed state benefits on behalf of service users who were unable to manage their own finances.

He exploited his detailed knowledge of the council's financial systems to divert money into nine separate bank accounts.

The court heard Shaw was responsible for managing the funds of 217 service users, 43 of whom were deceased with funds awaiting transfer to their next of kin or the state.

However, investigations in 2023 showed several bank transfers totalling £893,296 to personal accounts held in his name.

Two BMW cars worth nearly £120,000 and several high-value items including computers and bikes were seized after a warrant was issued to search Shaw's home on suspicion of fraud by abuse of position and money laundering.

Detectives found he spent £100,000 buying a holiday lodge in Ribble Valley, Lancashire, and almost £18,000 on garden improvements.

More than £53,000 in payments made to different women with references such as "treat", "allowance" and "nice" - amounting to hundreds of pounds every week.

He was sacked for gross misconduct in March 2023 when the council identified and reported the possible fraud to Greater Manchester Police.

CPS specialist prosecutor Pendered said Shaw "systematically stole" while safeguarding the finances of some of the "most vulnerable people in his community".

He added: "His victims were people who relied on the council because they could not manage their own affairs.

"Shaw callously exploited that vulnerability, even targeting the accounts of deceased service users knowing they [the accounts] would be less likely to be checked."

Det Sgt Daniel Sanchez, from GMP's economic and cyber crime unit, said "Shaw abused his position of trust" and his "haphazard spending" was uncovered by the force's financial investigator.

Bolton Council said: "Cases like this are exceptionally rare and the actions of one person do not reflect a wider workforce that is conscientious, diligent, and committed to public service."

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