HR manager who used her smartwatch to hack tills and steal £4,000 of bogus refunds at Chester racecourse is spared prison - despite previous conviction for benefit fraud

A HR manager who used her smartwatch to hack tills to give herself thousands of pounds of bogus refunds at the world's oldest racecourse has avoided prison.  

Lucy Kaur, 41, used her smart device to pocket more than £4,000 from Chester Racecourse by carrying out fake refunds and diverting the cash straight into her own bank account. 

The mother-of-one got away with the thefts for four months until bosses were tipped off an employee was using the hi-tech watch to steal cash from the tills.

Inquiries revealed Kaur, who had a previous conviction of benefit fraud and possession of goods with false trademarks, was the only employee present at the 16th Century venue when the fake refunds were carried out.

An investigation into a Halifax account operated by an unknown person showed 'large incoming payments' whilst further investigation discovered that £4,237.90 of the stolen money had been sent by bank transfer to Kaur's own account.

At Chester magistrates court Kaur, from Anfield, Liverpool admitted theft by employee and was sentenced to 16 weeks in prison, suspended for 12 months with an order to pay Chester Racecourse £2,000 in compensation.

When quizzed she cited anxiety and depression for her criminal conduct and said she owed money. It was not disclosed how she used the smart watch to carry out the illegal transactions.

Elizabeth Browne, prosecuting, said: 'The circumstances are that on September 12, 2023, Emma Harrison, the HR manager of Chester Racecourse reported an employee was suspected of having refunded £4,237.90 by smart watch to two accounts when not authorised to do so between May and September 2023.

'The defendant had managerial access to the company account which allowed her to complete the refunds. 

'The defendant was the only employee present when the refunds were received. She was interviewed in November 2023, but made "No comment". There was a breach of a high degree of trust.'

Kaur had 12 previous offences on her record including benefit fraud in 2011 and possession of goods with false trademarks in 2014 for which she received a suspended prison sentence.

In mitigation her solicitor Steven Alis said: 'She did have a degree of trust and that degree of trust was limited. She was slightly higher than a general bartender but had no other responsibilities. They could all do refunds as such.

'There are previous convictions but they are not identical to this one. There are recommendations in the probation report regarding a community aspect which could be attached to a suspended sentence.'

Kaur was also ordered to complete 100 hours of unpaid work and 20 days of rehabilitation activity.

District Judge Jack McGarva told her: 'You have pleaded guilty to theft of £4,237.90 from the Racecourse and you did that by using your access to and ability to make refunds you were entrusted with to transfer money directly into your account when no money was due to you.

'That is an offence of theft in breach of trust and is made more serious by your record of relevant offences. 

'It is implicit that the racecourse did trust you to give refunds in appropriate cases and not for your benefit but I do bear in mind that quite a large number of staff had the same access to the same facility.

'There is significant mitigation in the report. I do bear in mind that you have had trouble in the last few years. You have suffered anxiety and depression and your mental health is in question.

'The decision I have to make is whether the custodial sentence is immediate or suspended. I have come to the decision that it can be suspended. My view is that there is a realistic prospect of rehabilitation. 

'You do not shy away from what you have done wrong and I am thinking of your struggles with anxiety and depression and also the impact on others.

'I am not ordering you compensate for the full amount that you stole as I am aware that you owe money in relation to other cases. That is part of the reason why this offence occurred.'

Chester Racecourse is officially recognised by Guinness World Records as the 'oldest racecourse still in operation'. 

Horse racing in the city dates back to the 16th century, with 1539 cited as the year racing began, although some sources give a date of 1512 for the first races in Chester. 

It is also thought to be the smallest racecourse of significance in England at 1 mile and 1 furlong or 1.8 km long.