Ex-Kent Police sergeant admits horse racing betting fraud

Prosecutor Amanda Burrows said the syndicate was supposed to have been a scheme where members invested funds out of which a small proportion would be used for “gambling collectively”, which was controlled by Stanley.

But she said: “Unknown to members, in fact, the defendant was operating a massive fraud.”

She said it was “marketed as being virtually risk free”.

Magistrates heard about £44m was paid into the scheme and an estimated £34m was paid back out to members – leaving a shortfall of about £10m.

The court heard Stanley claimed he was carrying out successful gambling but “lied” to members about the amount of success he was having and “deliberately concealed” he was not operating the scheme in accordance with rules.

Stanley, who was arrested in August 2019, was charged with dishonestly making false representations to members of the LRS.

He was accused of knowingly running a business for a fraudulent purpose contrary to the Fraud Act 2006.

And he was also charged with three counts of knowingly running a business for a fraudulent purpose contrary to the Companies Act 2006.

The three counts related to the running of Layezy Ltd, Layezy Racing Ltd and Number 1 Guide Ltd.

Stanley, from Walderslade, pleaded guilty to all five offences.

Sentencing will take place at Maidstone Crown Court at a later date.