AT the end of an emotional and unusual day at Basildon Crown Court today (Friday, 15 September) two prominent Thurrock businessmen, who have already been behind bars since June, were given jail sentences of five and a half years and three years respectively.

As reported on Thurrock Nub News earlier this year, Graeme Loveland, 71, of West Hanningfield, Chelmsford, and Dennis Wakeling, 83, of High Road, Orsett, were found guilty of multiple offences of theft and money laundering after stealing more than £3.5 million from a company supposed to be helping and promoting business opportunities in the borough.

They were remanded in prison after the trial and today their fate was decided by Judge Andrew Hurst, who condemned the previously respected and highly admired duo to lengthy sentences and blamed it on their 'greed'.

They were the two sole directors of the Thurrock Local Enterprise Agency (TLEA).

Loveland, who was adjudged to have taken a lead role in the offence, was given five and a half years and a host of other lesser sentences that will run concurrently while Wakeling, got a series of concurrent jail terms, the longest of which was three years.

Both men will have to serve at least half their sentence behind bars.

As the sentences were delivered, members of both men's immediate families were reduced to tears as the enormity of what had been a remarkable day dawned on them.

Meanwhile, a former close friend and mentor to both men, renowned local business advisor Grahame Thomas, left the courtroom having been hailed a 'hero for justice' by the judge – and awarded a £500 reward for his 'brave' intervention into the financial morass of the agency. 

Initially he tried to get his two protégés to repay their ill-gotten gains but, when they failed to do so, he brought in the police and a probe into the affair, that ended in such dramatic scenes today, was launched.

In a somewhat bizarre element of today's hearing, Mr Thomas had earlier been restored as director of Thurrock Local Enterprise Agency after an extraordinary board meeting was held in the dock of the court. Special dispensation had to be made to bring pens and paper into the closed off area where prisoners are brought to face justice.

Judge Hurst had authorised breaching the normal ban on allowing prisoners items such as pens – which could potentially be used as weapons. He decreed it was highly unlikely, given the nature and age of the convicted men, that they would go rogue or become violent and cause a problem.

The Thurrock Local Enterprise Agency Maidstone Road site

At the heart of the matter was the money raised by selling a major asset of the company, the Thurrock Enterprise Centre on Maidstone Road in Grays that houses a number of business units.

During a four-week trial a jury, which unanimously convicted both men, had heard how the site was sold off to raise funds for investment in a new site and to invest in helping new Thurrock start-up companies.

However, Loveland and Wakeling couldn't resist cracking open the 'Golden Goose's egg' that was before them and they purloined the proceeds.

Loveland was guilty of taking more than £1,995,000, while Wakeling took just over £1.32 million.

Part of Loveland's haul was invested in classic cars, a property in Italy and holidays, the court heard, while Wakeling was more circumspect and used his share to prop up his ailing family-run business and try and save jobs of longstanding employees. Judge Hurst reinforced the point that he did not use the money for personal gain or profit.

Renowned prosecutor Andrew Evans outlined details of the case and said the judge should apply high and stringent tariffs in terms of sentencing because both men had shown high culpability because of the high degree of breach of trust they had breached.

He described the sums as eye-wateringly large".

And he added there was an aggravating factor, saying: "This was a case where there is evidence of community and wider impact as a result of the defendants' dishonest actions.

"Local businesses in Thurrock could have benefited from the injection of the cash" and he quoted the evidence of Neil Woodbridge, CEO of Thurrock Lifestyle Solutions which worked with TLEA as it sought to empower people to gain work through provision of various innovative mechanisms.

Mr Woodbridge said the money would 'have made an enormous difference to companies in the borough'.

Mr Evans also told how Mr Thomas had become aware of the duo's activities and he gave them an opportunity to put things right – even after they had directed the cash into their own accounts.

He said: "They failed to respond to repeated warnings about their activities by Mr Thomas who gave them the opportunity to do the right thing and pay monies back."

The barrister, an experienced criminal practitioner, specialising in the prosecution of serious and complex fraud, then outlined the dilemma Mr Thomas had faced, saying: "Had it not been for Mr Thomas's public spiritedness, which he accepted with a heavy heart having known both defendants for many years, this prosecution might never have happened."

Mr Evans did acknowledge: "These are both men of previous good character, professional men who until this happened had led exemplary lives."

Graeme Loveland - dismissed lawyers and spoke for himself.

Loveland then left the dock to appear in the witness box and conduct his own mitigation, having previously dismissed his legal team.

He said: "I'm not representing myself because I am arrogant, but because I am in a financial position where I have to do so."

Despite the unanimous decision of the jury, Loveland then proceeded to declare why he felt he and his fellow director, were the victims of an injustice.

He said: "I have spent almost 50 years in business and commerce and helped to run five charities

"I have always commended myself on my professional integrity and honesty and (speaking about testimonials to his character which had been submitted to the court) I would like to thank those who have trusted and believed in me now and over the years."

He questioned the suggestion that the duo had culpability and had caused harm, saying: "No evidence has been submitted of loss to the community.

"There is no evidence of impact on community, just hearsay, comments and assumptions.

"We did not abuse our conditions of trust. We tried to do our best, I don't see how we can be accused of not acting in the best interests of the company.

"At no time did either Mr Wakeling or myself hide any transactions from the investigating authorities.

"I believed our actions were appropriate and lawful.

"I do not understand how anybody can say we concealed these payments."

He suggested the pair were simply reimbursing themselves for time spent working for the agency and, in his case, recovering money that he had personally invested.

He also denied any involvement in 'money laundering' despite his conviction, saying: "This was not a gang or group, money laundering is dealing with money from unlawful activity, which we did not think we had done.

"I have no understanding of the criminality of these offences."

He ridiculed the evidence given by Mr Woodbridge and described his ideas for business as a 'pipedream'.

Grahame Thomas (left) and Dennis Wakeling were former close associates the TLEA's office on New Road in Grays.

He then spoke of Mr Thomas' role and that of the agency's accountants, Grays-based Rowland Hall, saying: "Mr Thomas was the only person who had any criticism of our actions. Rowland Hall who prepared the accounts, made no warning. I don't understand how I can be accused of the theft of my salary.

"Rowland Hall has been involved; they had raised no issues. There were no warnings or questions about whether I was doing anything wrong or illegal.

"I have been found guilty of theft of my wages somehow."

And he added one of his companies was owed for his services to TLEA as a director, plus a pension he claimed he had been promised by Mr Thomas

Loveland described TLEA as a community-funded, philanthropic organisation at its outset but that after 2011 it became a commercial and social enterprise 'controlled by me and my wife'.

He said: "It was expected that there would be a return on investment, which is how I understand the circumstances of the running of it. TLEA operated as commercial entity."

Coming to the end of his speech, during which he quoted Shakespeare by saying 'Brevity is the soul of wit', he said: "I am of previous good character with service to my community and the country. I spent nearly 20 years in the Territorial Army.

"We have made mistakes and suffered the results but not because we intended any criminal activity.

"I do not think It was doing anything wrong by paying myself for work done.

"We have heard about the use of the money I was paid including payment for a cruise holiday for my wife in 2019."

He denied having an extravagant lifestyle, saying: "We do not drink to any excess and never smoked, the way we use our money is entirely down to ourselves. The holiday referred to was not anything unusual or remarkable.

"I apologise to my wife, my son and my wife's family for the worry, anxiety and stress this has caused them.

"We have already spent three years in high anxiety not knowing how to live with the outcome of this case. I ask the judge to be merciful."

When he returned to the dock he was patted on the back by Wakeling, who said: "Well done."

On mitigation for Wakeling, the court was addressed by Peter Caldwell, a leading barrister in criminal fraud, described as a 'giant in his field'.

He outlined the circumstances that had led to the downfall of his client and played down the suggestion he was some sort of criminal mastermind, saying: "It is said he had a lead 'role', there were two men involved, this was not a group activity.

"Mr Wakeling's error was to go along with the distribution of funds from the sale of Maidstone Road, but Mr Loveland did all the work, the plan was entirely by him. Mr Wakeling had no interaction. Everything was moved forward by Mr Loveland.

"There was use of money to support his business, but not to put money in his pocket.

"It has been said the motivation for the offence has been greed. I think you have to consider it more to do with pride.

Thameside Electrical's head office.

"Mr Wakeling had worked to build a business, Thameside Electrical, from nothing and employ many, many people. He was extremely proud of his business and what he has achieved and felt a sense of obligation and responsibility to the business and to look after people who were working for him.

"As matters went along, particularly as he was reaching his mid-seventies, he wished to continue even though the business was not what it was and his capacity for business was not what it was. It was losing money and that hit him very hard.

"Those who knew him well noted a change in his mood which they now correctly see as symptoms of depression at the time. He was extremely worried.

"There was no longstanding view that this (Maidstone Road) was a cash asset waiting to be realised and when it did materialise it was a golden goose, he confesses.

"There was no great plan what to do with the money, his aim was to revive the business of Thameside Electrical and make it work.

"The business had been draining his resource over recent years. He had paid tens of thousands, if not hundreds to pay his staff and he took nothing from the business.

"If you are looking for an explanation, this is it.

"Originally the money was put aside and only a little used for the business.

"Now the business has folded, staff have been laid off, people who have worked for him for 30 or40 years have lost their jobs.

"When this was revealed, everyone who knew him, including his family, was shocked. He had hidden the state of the business from them."

Mr Caldwell told the court that Wakeling had suffered a gradual onset of dementia, adding: "I can't say whether this affected his decision making in 2019, that would be conjecture, but it really has a bearing on both the future as he may hope to enjoy it, in his capacity to be reunited with his family at some point, and the person he will be at that juncture.

"I do ask you to take account of that, there is mitigation in the future and I ask you look at this in a meaningful way.

"Being remanded in custody has been a tremendous shock, it's a shock that has already had a salutary effect.

"I only ask that a proportionate sentence representing the burden on his shoulders be considered."

Delivering his summary and sentence, Judge Hurst first disqualified both convicted men from being directors of companies for ten years.

This does not affect the ongoing Thurrock Local Enterprising Agency as Loveland and Wakeling, during the earlier hastily-convened board meeting, had resigned and Mr Thomas and another former director, John Harrington, were reappointed to its board.

Before delivering sentence Judge Hurst then paid tribute to Mr Thomas, saying he had 'distinguished himself in the course of justice'.

He added: "Mr Thomas supported and nurtured the career of Graeme Loveland and was a longstanding friend of Mr Wakeling.

"In reporting this to the police he was in effect condemning friends and colleagues. He did his duty.

"It must have been very difficult, but he has done a great service. I commend him and offer him the sum of £500."

Turning to the convicted men he said: "The facts of the case are extraordinary and a tragedy to your reputations.

"This was no ordinary trial, if there is such a thing.

Judge Hurst's message at Basildon Crown Court.

"You succumbed to greed. Your judgement deserted you.

"You positively disregarded your friend and colleague Grahame Thomas' attempt to help you. You told him you were reinvesting the money in TLEA but you took inconceivably large sums of money for yourselves.

"The local area was screaming for funds to help set up businesses but in a few months you dishonestly stripped the company bare. It was theft – pure and simple."

Looking at the timescale of the crime he added: "You had so much time to make amends but you did not take it, so for now the money has gone."

Speaking to Loveland he said: "You remained adamant this morning you had done nothing dishonest.

"I accept you were owed some money, but this was dwarfed by the money you took. It was greed. "

Turning to Wakeling, Judge Hurst said he had read letters sent by family, friends and business acquaintances paying tribute to him and added: "They were some of the saddest I have ever read.

"The impact of this has been powerful – and for nothing.

"The question many people ask is 'Why?'

"I accept that is was pride that led your heart and you were suffering from depression. But there was still greed."

However, he said he had to take guidance from government-prescribed recommendations about sentencing and that age could not be considered in mitigation because if it were, there would be businessmen at the end of their careers who would see opportunities and so he delivered a series of mid to high range sentencing across the range of offences, making them all concurrent.

Leading barristers Peter Caldwell (left) and Andew Evans unpicked complex issues with arguement on merits of mitigation or punishment.

Loveland got five years and six months as the longest single term, Wakeling three; which means they are likely to stay in prison until March 2026 and just before Christmas 2024 respectively.

However, there are still court hearings they will have to attend.

Judge Hurst has set down a timetable for confiscation of assets of both men, which is planned to be complete by March next year.

That may be delayed as Loveland flagged up his problems of dealing with his affairs withour legal help and to 'prepare his position' as he had no computer or access to records in prisons.

Judge Hurst said that he would ensure that some leeway would be granted and Loveland might need to his involve his family.

Loveland said: "I don't want to put more stress on them than I have already done", but the judge indicated that there was enough time and flexibility on hand for him to be able to meet the demands of the directive in due course.