Greedy NHS boss, 48, who masterminded £800,000 fraud to spruce up his home and those of his relatives is jailed for four years and eight months

  • Royston Dyke, 48, was jailed for nearly five years after masterminding a scam
  • The NHS boss ran a fraud that cost the health service more than £800,000
  • Dyke submitted 204 invoices for work on his and family members’ homes
  • He put £200,000 of the payments into his bank, including £142,000 in cash

Royston Dyke was jailed for nearly five years after scamming Gloucestershire Hospitals NHS Foundation Trust out of £870,000 

A greedy NHS boss ran a fraud that cost the health service more than £870,000 and led a life of luxury on the cash, a court heard.

Royston Dyke, 48, was jailed for four years and eight months after masterminding a scam to defraud Gloucestershire Hospitals NHS Foundation Trust.

Dyke used his position as the trust’s associate director of capital and development to submit 204 invoices – at a value of £870,490 – for building work on his and family members’ homes.

All but 12 of the hundreds of invoices were approved by Dyke and all but six were paid by him.

Some building work he put invoices through for did not even take place, the court heard.

Dyke benefited by £391,715, putting £200,000 of the NHS payments into his bank accounts – including £142,000 in cash during the period of 2012 to 2015.

Dyke’s assets of £189,115 were confiscated and must be paid to the trust as compensation.  

Tradesmen Vincent Smith, Graham Fallows and Peter Potente were also jailed for their part in the fraud at Bristol Crown Court.

Judge Mark Horton said there were few areas of society of which the British public were more proud than the NHS, with staff doing their best despite having to cope with limited funds.

Dyke used his position as the trust’s associate director of capital and development to submit 204 invoices – at a value of £870,490 – for building work on his and family members’ homes. Pictured: Dyke’s home that is now up for sale under the Proceeds of Crime Act

But despite being well paid, Dyke became greedy and abused his power, trust and responsibility over a substantial amount of time. Pictured: The Gloucester home that Dyke used £400,000 of NHS funds to renovate

He said Dyke, of Gloucester, had been employed by the NHS since 1997 and had worked his way up ‘effectively from store man to senior manager’, becoming the associate director of capital and development in 2013.

But despite being well paid, Dyke became greedy and abused his power, trust and responsibility over a substantial amount of time.

The judge said he committed the fraud knowing full well that the NHS would be less able to care for the vulnerable and sick as a result.

He said: ‘You created false invoices for work not done for the trust itself.

‘You, Mr Dyke, had a lavish lifestyle. In an interview with a probation officer, you describe yourself as being simply greedy. 

You describe how you swept all of your co-defendants into this. You committed this fraud, you ran it.’

The sentencing hearing followed the four men last year having pleaded guilty to conspiracy to commit fraud.

Tradesmen Graham Fallows (top left), Vincent Smith (top right) and Peter Potente (bottom left) were also jailed alongside Dyke (bottom right) for their part in the fraud at Bristol Crown Court


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Smith, 58, of Longlevens, Glos., and Fallows, 59, Longlevens, Glos., were jailed for three years and four months.

The money they made from the crime, £125,000, was confiscated and must be paid as compensation to the trust. They must also pay it £5,000 in costs.

Potente, 55, of Gloucester, was jailed for 16 months. The money he made from the crime, £155,317, was confiscated and must be paid as compensation to the trust. He must also pay it £5,000 in costs.

The judge said Dyke claimed that in mitigation he had been going through a stressful divorce and had not achieved the kind of promotion at the trust that he wanted.

But after the court heard that he went on holidays and decorated the house he shared with Claire Neely, Judge Horton said: ‘No expense seems to have been spared.’

The court was told Dyke admitted being the prime mover in the fraud, telling his friends there was no risk of them getting caught and telling them what to put down on various documents.

Dyke benefited by £391,715, putting £200,000 of the NHS payments into his bank accounts – including £142,000 in cash during the period of 2012 to 2015. Pictured: Dining room of Dyke’s improved home 

Det Insp Wayne Usher, head of fraud and financial crime at Gloucestershire police, said: ‘It’s quite clear Dyke wanted to live this lavish lifestyle. He treated the NHS like a cash machine’

James Tucker, for Dyke, conceded that the public would feel a sense of ‘revulsion’ about the misuse of NHS money.

The court heard Smith and Fallows, who had worked together for 30 years, had before the fraud been honest builders with a good reputation and they had contributed to charitable causes.

Potente too was said to have had an unblemished character before he got involved with the scam.

All three were said to have been very remorseful about what had happened.

Dyke’s partner, Claire Neely, was due to stand trial for alleged money laundering but the case was dropped.

After the trial of the four men, Det Insp Wayne Usher, head of fraud and financial crime at Gloucestershire police, said: ‘It’s quite clear Roy Dyke wanted to live this lavish lifestyle.

‘He treated the NHS like a cash machine.’

Pictured: Invoices sent by Dyke from his NHS email account

Gloucestershire Hospitals NHS Foundation Trust said in a statement: ‘Roy Dyke grossly abused his position of trust by deceitfully taking money from the NHS to fund a lavish lifestyle.

‘The severity of his sentence, the financial ruin and the loss of reputation of Dyke and his co-conspirators sends out a strong message of deterrent to anyone who thinks they can cheat the system in such a way and get away with it.

‘Under the Proceeds of Crime Act, we are in line to recover 90 per cent or £594,433 of the money taken, an exceptionally high recovery rate, and Dyke’s NHS pension will also be recovered.

‘While new checks and balances have been introduced to ensure that our accounting processes are much more robust, it’s reassuring to see that the supportive culture required within an organisation for this kind of practice to be identified and surfaced are in a strong position.

‘We would like to pay tribute to the outstanding work undertaken by our local NHS Counter Fraud Service and Gloucestershire Constabulary in successfully convicting these criminals.’  

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