Ross Knowles is on trial at Maidstone Crown Court

by Keith Hunt

A Kent County Council chief responsible for arranging energy contracts committed a fraud involving more than £2 million, a court heard.

Ross Knowles was said to have lavished a staggering £376,000 on luxury purchases, including a Jaguar car and £10,000 on holidays as a result of the alleged fraud.

The 42-year-old was head of energy procurement for the south east region, buying gas and electricity for KCC and other local authorities at the best prices.

Over a period of about 14 months, Knowles, who earned £66,000 a year, extracted the large amount of money and kept it for himself, it was alleged.

Allison Clare, prosecuting, told a jury at Maidstone Crown Court: "The essence of the fraud is really very simple."

Known as Laser (Local Authority South East Region), it was a large body dealing with "an awful lot of money" buying energy for KCC and about 120 other local authorities.

The gas contract was with British Gas and the electricity contract with NPower.

Miss Clare said Cambridge graduate Knowles was employed by KCC in March 2007 and regarded as "a bit of a star" and a "golden boy".

"it is a remarkably simple way of him extracting money and taking it for himself…” – allison clare, prosecuting

"He was a huge asset to Laser, everybody thought," said Miss Clare. "That may be why he was able to perpetrate the fraud."

Knowles asked British Gas and NPower to add an extra charge at their end as a "comfort blanket", which would be reclaimed by KCC and Laser at the end of the year.

"British Gas charged that extra amount and during the course of the year a huge amount built up as a result," said the prosecutor.

After a year of the contract running, Knowles submitted an invoice for repayment of part of the money, about £400,000.

But the cash was into his own account, it was alleged.

"It is a remarkably simple way of him extracting money and taking it for himself," said Miss Clare.

"In a 14-month period, he manages to extract from British Gas over £2 million."

He used a similar method with NPower, she said, extracting £187,000.

Miss Clare said £376,000 of the money was spent on items including a Jaguar car, holidays, payments to his mother and sons, payments to his solicitor over a dispute with his ex-wife and £39,000 in cash withdrawals.

Knowles, of Larking Drive, Allington, denies two fraud charges.

The trial continues.