A former lottery executive has been jailed for three months after he ‘deprived a charity of £285,000’, misusing profits that were intended for charitable purposes.
Simon Rydings, aged 50, from Edinburgh, is also obliged to pay a £1,000 compensation package to Sheffield Hospitals Charity within 18 months of his release.
During his trial, Birmingham Magistrates Court was told that Rydings had not transferred £285,000 of lottery funds to a charity it was intended for during his time as CEO of Capen Limited.
Capen Limited is an operator with an external lottery management licence however the UK Gambling Commission (UKGC) had suspended its external lottery manager and gambling software licences in December last year after instigating a review under section 116 of the Gambling Act 2005.
In the trial, prosecuted by UKGC, Rydings admitted to misusing lottery proceeds between January 2018 and March 2020.
He stated that he had used the £285,000 on running costs of the business consequently leaving him without sufficient funds to return to the intended charities.
Helen Venn, Gambling Commission Executive Director, commented: “Lotteries in this country can only be run for good causes – charities and other non-commercial organisations who run lotteries rely heavily on the income they receive from lotteries to support the important work they do.
“Simon Rydings completely failed as the CEO of a company with a Gambling Commission licence (ELM) and is now paying the price.
“Consumers in this country deserve to know that when they enter a lottery they are helping support their chosen cause – and we will not hesitate to take action against individuals who misuse funds in the way Rydings did.”
