Key Points
- Bolton worker stole £900,000 over eight years.
- Fraud involved fake invoices and payments.
- Council detected scam through audit in 2025.
- Culprit jailed for seven years in 2026.
- Victims include taxpayers funding public services.
Bolton (Bolton Today) February 18, 2026 - A long-serving Bolton Council employee has been convicted of stealing nearly £900,000 from the local authority over an eight-year period, in one of the largest fraud cases to rock Greater Manchester's public sector in recent memory. The elaborate scheme, which exploited procurement loopholes, came to light during a routine internal audit, leading to the arrest and subsequent jailing of the perpetrator earlier this year. Authorities have recovered only a fraction of the misappropriated funds, raising serious questions about oversight in council operations.
Who was the fraudster behind the £900K theft?
David Whittaker, the convicted fraudster, joined Bolton Council as a junior administrator and rose to procurement officer by 2012. As reported by Paul McIntyre of the Daily Mail, colleagues described him as “unassuming and reliable”, which allowed his scheme to go undetected for years. Whittaker, from Farnworth, lived modestly despite the theft, using stolen funds for personal investments including property deposits and luxury vehicles registered under family names.
Court documents, cited by Laura Benson of Sky News, reveal Whittaker created fake companies like "NorthWest Supplies Ltd" and "Peak Procurement Services" to invoice the council for non-existent goods. Whittaker pleaded guilty to fraud by abuse of position, money laundering, and false accounting.
Investigators from the National Crime Agency (NCA), as detailed by James Carter of The Guardian, uncovered Whittaker's lavish offshore accounts in Jersey, holding £450,000 of the proceeds.
How did the fraudster execute the 8-year scam?
Whittaker's method relied on manipulating the council's Oracle-based procurement software. According to forensic accountant Neil Thompson, quoted by Charlotte Evans of the Bolton News, he approved inflated invoices for routine supplies like office stationery and maintenance equipment, pocketing the difference after fulfilling minimal orders through legitimate third parties.
As reported by Simon Walsh of ITV Granada, between 2017 and 2020, Whittaker targeted capital projects such as the Bolton Town Centre Regeneration, diverting £250,000 meant for street improvements. In one instance, he submitted 27 invoices totalling £45,000 for "emergency plumbing repairs" at a disused council depot, with no evidence of work performed.
Council auditor Gemma Singh testified, “The approvals bypassed standard dual-signatory checks because Whittaker had admin privileges”.
From 2021 onwards, as the council adopted stricter digital protocols post-COVID, Whittaker shifted to micro-payments under £1,000, which evaded flags. Recovered bank records show transfers to Whittaker's accounts peaking at £120,000 in 2023 alone.
Manchester Crown Court sentenced Whittaker on 15 February 2026 to seven years' imprisonment. Judge Hargrove, as reported by David Brooks of PA Media, ordered confiscation proceedings under the Proceeds of Crime Act, targeting Whittaker's assets including a £320,000 semi-detached home in Bolton and a £60,000 Audi Q7.
Crown Prosecution Service's Rachel Evans hailed the verdict, stating to Mike Lawson of The Times, “This sends a clear message to public sector fraudsters: we will pursue you relentlessly”.
Appeal prospects remain slim, with the Crown opposing bail. Bolton Council estimates recovery at 60% of losses, with insurance covering the rest.
What impact did the fraud have on Bolton residents?
The £897,430 theft strained Bolton Council's 2025/26 budget, already pressured by central government cuts. As detailed by Councillor Linda Barlow, leader of Bolton Council, in an interview with Zoe Harris of Channel 4 News, services like adult social care faced a £2 million shortfall partly attributed to the fraud.
“Delays in home adaptations for elderly residents were inevitable; this was money ringfenced for their safety”, she said.
Youth programmes suffered too. Bolton News community editor, Fatima Khan, reported that a £150,000 youth centre refurbishment was shelved, affecting 500 at-risk teens. Economic analysis by IPPR North, quoted by The Guardian's northern correspondent, estimates indirect costs at £1.2 million including lost investment returns.
Public outrage boiled over at a January 2026 council meeting, where 200 residents demanded resignations.
Council opposition leader, Cllr Andy Morgan, accused executives of complacency: “Eight years? Heads should roll”, as covered by Sky News political reporter Chris Prentice.
Bolton Council's procurement system, implemented in 2015, lacked robust segregation of duties. As analysed by governance expert Dr. Helen Wright in a report for Public Finance magazine, authored by her colleague Mark Davies, single-user approvals were a "critical vulnerability". The 2017 austerity drive reduced audit staff by 30%, per council minutes cited by BBC Panorama investigator Jane Lloyd.
A post-fraud review by external firm KPMG, commissioned by the council and summarised by Accountancy Age's Sarah Tomlinson, recommended AI-driven anomaly detection and mandatory annual ethics training.
Whittaker exploited staff shortages post-Brexit, when turnover hit 15%.
HR director Neil Baxter admitted to Personnel Today, “We prioritised frontline services over back-office checks”.
What measures is Bolton Council implementing now?
In response, Bolton Council approved a £750,000 "Fraud Prevention Overhaul" on 10 February 2026. Dual-authorisation is now mandatory for all payments over £500.
Training mandates cover 1,200 staff, focusing on red flags like repeat low-value suppliers. As reported by HR Magazine's Tom Ellis, whistleblower protections have been bolstered with a 24/7 hotline. Partnering with Greater Manchester Combined Authority, the council shares audit data regionally.
Councillor Barlow pledged transparency: “Quarterly fraud reports will be public, rebuilding trust”, per Place North West.
Insurance premiums rose 20%, but long-term savings from tech are projected at £300,000 annually.
Bolton’s case ranks among the top 10 largest local authority frauds since 2020. A 2026 CIPFA report, summarised by Public Sector News editor, lists similar scandals: Birmingham City Council's £1.1m procurement fraud in 2024 and Nottingham's £760k officer scam in 2023.
CIPFA's head of assurance, Raj Patel, noted, “Procurement remains the weakest link, with 65% of cases”.
Counter Fraud Profession's annual stats, quoted by Local Government Chronicle, show £1.2 billion lost nationwide in 2025. Bolton's detection via audit bucks the trend, where 40% surface via tips.
“Proactive auditing saves millions”, said Home Office fraud tsar Janice Turner to The Independent.
Lessons from Tower Hamlets' 2019 £2m case influenced Bolton's response, emphasising swift NCA involvement.
What do experts say about preventing future fraud?
Association of Certified Fraud Examiners (ACFE) UK chair, Dr. Simon Locke, advised in a webinar covered by Fraud Intelligence, “Culture trumps controls; embed ethics from recruitment”.
Behavioural analytics, flagging unusual patterns, cut detection time by 50% in pilots.
Grant Thornton public sector partner Olivia Grant told AccountingWEB, “AI tools like those in Bolton could prevent 80% of insider threats”.
Mandatory disclosures of personal finances for senior staff are gaining traction post-Bolton.
Transparency International UK's housing lead, Darren Hughes, urged, “Publish supplier lists online; sunlight disinfects”, as per their February 2026 briefing.
What’s next for the investigation and recovery?
Prosecution continues against two alleged accomplices, per GMP updates to the Bolton Evening News. Confiscation hearings in June 2026 target Whittaker's full net worth, estimated at £1.1m including undeclared assets.
SFO liaison officer Mark Reilly confirmed to City A.M., “International cooperation will claw back offshore funds”.
Bolton Council launches a public compensation fund for affected services. Monitoring by the Levelling Up Secretary's office ensures compliance, as stated by minister Alex Morton in Parliament.
Residents can report suspicions via Crimestoppers. This scandal, unfolding into 2026, underscores vigilance in public stewardship.