SIGNIFICANT sums of money ‘disappeared’ from company accounts managed by the former boss of a Pontypool recycling facility, prosecutors have claimed.

Christopher Baylis, 57, was previously handed a suspended jail sentence after breaching numerous permits and environmental conditions.

Before being sentenced in February last year, he pleaded guilty to three counts of allowing the operation of a regulated facility, Thorncroft Recycling in the Polo Grounds Industrial Estate in New Inn, without a permit and two of failing to properly store waste.

He had also pleaded guilty to failing to comply with an enforcement notice.

A proceeds of crime case is now being heard at Cardiff Crown Court.

On the second day of the hearing yesterday, accounting expert Fred Brown, of Grant Thornton accountancy firm, gave evidence about company accounts.

Alexander Greenwood, prosecuting, asked Mr Brown about his analysis of company bank statements.

Bank statements showed money from one of the company accounts, named as Baylis Farms Accounts, as being debited to groups including Investec, Phoenix Life and BUPA.

Mr Greenwood said the bank statements showed “substantial amounts of money disappearing” from the company accounts, with some of the payments “unaccounted for.”

Mr Brown said he agreed with the statement.

But Gary Pons, defending, said the bank statements showed a list of names of people who were all paid on a regular date.

He said these were employees who were being paid.

However, he said at one point, the accounts for Thorncroft Recycling showed there was not enough money to pay the wages.

Mr Pons said it was at this point a £10,000 payment was made from another company account, Baylis Farms, which he suggested was used to pay employees.

But Mr Brown said it was difficult to understand the financial position of the company by looking at the bank statements alone.

Mr Pons said the statements showed an “injection of cash” was made to cover cash flow problems. He said money transfers were made from other accounts, which were then repaid, to act as short term loans.

Baylis was previously sentenced to a 12-month prison sentence, suspended for two years, and banned him from having any involvement in the running of a company for the next five years.

When previously sentenced, the court heard Baylis, of Black Barn Farm, Aston Sandford, Buckinghamshire, was involved in running Thorncroft Recycling Waste Ltd.

Among the organisations it obtained contracts from were Caerphilly County Borough Council, which contracted the firm to receive and sort mixed recycling at an agreed cost of £40 per tonne, an agreement from which the company made more than £193,000 between December 2013 and October 2014.

The proceeds of crime hearing continues today. However, a judgement is not expected until a later date.