A couple named who defrauded the University of Otago for $ 220,000

Now a Dunedin couple can be named who scammed the University of Otago out of more than $ 220,000.

Gavin Marcus Bainbridge, 49, was employed as a senior manager in the university’s IT department in 2017; His wife Karen Ailsa Bainbridge, 47, did not work there, but she became an integral part of the fraud that resulted in the large-money scam.

The couple appeared in Dunedin District Court yesterday after pleading guilty to causing losses by deception and urged Judge Michael Turner to permanently delete their names.

The Otago Daily Times has chosen not to publish the reasons for the request, but the judge said the evidence “does not outweigh” the public interest in open justice.

“The crime was extremely serious and involved the deliberate theft of funds for financial gain,” he said.

The public deserved to know the identity of those behind the scam and it would also mean that the couple were less likely to repeat their crimes, he said.

Judge Turner referenced the case of Joanna Harrison, whose persistent fraudulent efforts were aided by suppression orders imposed by the court.

Although the Bainbridges were not sentenced yesterday, the details of their scam can now be revealed.

In October 2018, Karen Bainbridge created a company called “Studio-Us” in her maiden name Karen Morton, “to appear as an agency that designs software online,” according to court documents.

Three months later, Gavin Bainbridge established the company as a new creditor and supplier to the university.

There were no conflicts of interest.

The first bill, for $ 13,800, was submitted by Karen Bainbridge in March 2019 and paid a few weeks later.

The plan had worked.

In August, the stakes increased.

He submitted three other invoices, referring to “e-learning modules,” for a total of $ 144,900.

Gavin Bainbridge sent the documents to the accreditation department of the university.

In total, $ 227,700 was paid to Studio-Us.

“No work has been delivered to the University of Otago because of the bills that have been paid,” said a police summary.

“Additionally, the university states that it is not their policy to pay for services before they are completed or delivered.”

An investigation found that money paid to the Studio-Us account was transferred to five joint accounts operated by Bainbridges.

One obvious question remained.

“Where did the money go?” Judge Turner asked.

The defendants had been on family vacations in the United States, but it seemed unlikely they would have spent all the money there, he said.

Typically, the judge said, those sums are spent on addictions or a luxurious lifestyle.

The defendants had exercised their right to remain silent when the police raised the question, but he was not satisfied with that.

Before sentencing them, Judge Turner wanted a guarantee that Gavin and Karen Bainbridge had not embezzled the money in a trust or similar.

Crown prosecutor Robin Bates confirmed that authorities had not tracked the use of the cash and that there was no ongoing investigation into the proceeds of crime.

The couple will be sentenced in November.

A spokesman for the University of Otago said the comment would only be made then.