Ex-council worker jailed for £893k fraud against vulnerable service users

The Crown Prosecution Service said Richard Shaw, 46 from Bolton, “spent the stolen funds on luxury items including two BMW vehicles costing nearly £120,000, garden improvements worth almost £18,000, holiday lodges in the Ribble Valley worth £100,000, and more than £53,000 in payments to different women with references such as ‘treat’ and ‘nice’ which amounted to hundreds of pounds every week”.

Shaw was employed by Bolton Metropolitan Council's Financial Protection Team, initially as a Finance Officer and later as an Appointee Officer in 2014.

His role was to manage state benefits on behalf of service users who were unable to manage their own finances and had no one else to assist them.

Between 5 May 2015 and 18 April 2023, Shaw transferred a total of £893,926.01 from council accounts and the personal funds of vulnerable service users into bank accounts belonging to himself, his wife, and a joint account.

The court heard that 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.

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

The fraud was uncovered in February 2023 when concerns were raised about accounts running unusually low.

Shaw was suspended by the council and subsequently dismissed. When his personal locker was searched, officers found bank cards belonging to service users, and a list of deceased clients.

Shaw pleaded guilty on 12 December 2025 to one count of fraud by abuse of position, contrary to sections 1 and 4 of the Fraud Act 2006. He was sentenced at Bolton Crown Court on 18 February.

The CPS said it would now commence confiscation proceedings under the Proceeds of Crime Act to recover any funds and assets from Shaw’s criminal activity.

Stephane Pendered, a specialist prosecutor with the Crown Prosecution Service, said: "Richard Shaw was entrusted with safeguarding the finances of some of the most vulnerable people in his community. Instead, he systematically stole from them over an eight-year period.

"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 would be less likely to be checked."

Pendered added: "The CPS worked closely with Greater Manchester Police and Bolton Metropolitan Council to build a strong case that led to Shaw's guilty plea.

"We hope today's sentence provides some measure of justice for the victims and sends a clear message that those who abuse positions of trust will be held to account."