A man has appeared in court charged with embezzling more than £1 million from Aberdeen City Council.
Michael Paterson is alleged to have swindled the staggering seven-figure sum from the cash-strapped local authority over a number of years while an employee.
The 59-year-old – who is understood to have worked in the revenue and benefits department – appeared in private at Aberdeen Sheriff Court facing the single charge of embezzlement.
It comes as Aberdeen City Council’s controversial budget this year continues to make headlines.
Six libraries were closed and Sport Aberdeen’s budget was slashed by £700,000 as the local authority sought to save pennies anywhere it could.
Embezzlement accused bailed
The sport cuts spelled the end for the Beach Leisure Centre and left Bucksburn residents shocked as they learned their beloved pool would be mothballed.
However, after months of furious demonstrations from locals, last week the council announced a stunning U-turn on the Bucksburn pool.
Paterson, of Aberdeen, made no plea during the behind-closed-doors hearing.
The case against him was committed for further examination and he was released on bail in the meantime.
A date has yet to be fixed for his next appearance over the matter.
The public spending watchdog has been alerted to the alleged fraud.
Councillors briefed on case
Audit Scotland has monitored the local authority’s own probe and action taken since.
“We are fully aware of the circumstances around this and the investigation and action already taken by the council,” an Audit Scotland spokeswoman assured us.
A routine audit of Aberdeen City Council was already due to be published next year.
Councillor M. Tauqeer Malik, convener of the audit, risk and scrutiny committee, said: “I first became aware four weeks ago when officers advised me of a situation that may result in criminal proceedings.
“I can confirm that other than that I have no further information.
“Once the matter has been disposed of by the court I, as audit, risk and scrutiny convener, will ask officers for a report to investigate the circumstances of what has happened.”
Councillors were briefed about the case by chief finance officer Jonathan Belford hours after Paterson’s court appearance today.
During the meeting, he reminded them that the matter must be kept confidential to avoid the risk of prejudicing the criminal proceedings.
Police Scotland unable to comment
A Police Scotland spokeswoman said they could not comment or provide any details on the case.
She said she could not locate the case on her computer system without being given the specific date the matter was first reported to police.
She also cited GDPR legislation as a reason for being unable to search for the case using Paterson’s name and date of birth.
Aberdeen City Council declined to comment.
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