Gaming Strategy
Featured Stories
Legal News Financial News Casino Opening and Remodeling News Gaming Industry Executives Search News Subscribe
Newsletter Signup
Stay informed with the
NEW Casino City Times newsletter!
Search Our Archive of Gaming Articles 

Aussie Manager Allegedly Gambled Away $11.3 Million

21 April 2002

AUSTRALIA -- April 20 2002 -- As reported by The Age: ``At just 39, Craig Telford was regarded as the `golden-haired boy' - the trusted protege groomed for a top job in the trucking empire of South Australia's richest man, 79-year-old Allan Scott.

``...Mr Telford yesterday appeared in a Queensland court, accused of gambling away $21 million (US$11.3 million) of his employer's money at the races. He consented to extradition to South Australia and is due to appear in an Adelaide court on Monday.

``The alleged fraud has not only devastated the stockmarket-listed K&S Corporation, but also sent tremors through the SA town of Mount Gambier, where after 55 years of business, Mr Scott's group is the biggest employer.

``...When Mr Telford was arrested yesterday, police found him at his $700,000 beachfront condominium in Maroochydore, where he was holidaying with his wife and three children. He was described as living `the flashiest lifestyle' in Mount Gambier, owning several houses in the district.

``Yet it was horse racing that had become his obsession. According to a statement of facts handed to the extradition hearing in the Maroochydore Magistrates Court, Mr Telford had gambled $21 million defrauded from K&S Corporation on horse racing. The statement said he had admitted to police that he owed millions to Sportsbet Australia and bookmakers in South Australia.

``...Still, Mr Telford's activities had attracted no suspicion in the Scott Group. Alarm bells only rang when a regular supplier told Mr Winser (Chairman and Scott's son-in-law) that a cheque had bounced. Company sources said this had never happened before.

``Mr Winser began an immediate investigation and within days Queensland police were asked to make the arrest.

``...Much of the money may be lost; police have located and frozen $3 million but K&S told the Australian Stock Exchange its profit this year would be slashed by $14 million.

``...Police said yesterday they believed it was the biggest case of alleged fraud involving a company employee. Australia's biggest fraud involved Alan Bond stripping $1 billion from Bond Corp in 1988-89..."

< Gaming News