A Morrisions employee defrauded the company out of more than £42,000 by loading millions of points on to two bogus Loyalty Cards, Bradford Crown Court heard.

Nathan King, who worked in the customer services department at the supermarket giant’s Bradford headquarters, used the scam to buy expensive electrical items that he sold online to pay off debts and treat his family.

King, 29, of Birch Lane, West Bowling, Bradford, received a suspended prison sentence today after pleading guilty to fraud by abuse of position.

Prosecutor Philip Adams told the court that King had admitted the offence on the basis that he defrauded Morrisons PLC out of £42,338.

Mr Adams said the Crown put the figure at up to £47,000 but King’s version would be accepted for the sentencing hearing.

The court heard that when customers at Morrisons had spent £1,000 in its stores they accrued 5,000 points on their Loyalty Card and received a £5 voucher.

King’s work at the Gain Lane headquarters enabled him to set up two bogus Loyalty Card accounts and load hundreds of thousands of points at a time on to them.

The first account ran from November 23 last year until January 13. King obtained £15,685 worth of vouchers, equating to 15 million points.

The second account was set up on January 14 and was closed on March 5 when the fraud was uncovered.

Mr Adams said that vouchers valued at £26,653 were obtained with 26 million points that King dishonestly loaded on to the Loyalty Card.

The court heard that he redeemed the vouchers by making small purchases at the self-service tills because Morrisons check-out staff would otherwise have rumbled the fraud.

King used the vouchers to buy expensive electrical items, such as television sets and games consoles, and Amazon Gift Cards.

CCTV from Morrisons’ stores showed that King was present when the vouchers were obtained.

He was called into a meeting with his employers on March 14 and admitted what he had done. The police were alerted and King was immediately frank with them as well.

He told investigating officers that his job involved dealing with complaints about missing loyalty points.

He began the fraud by loading just a few points at a time but it escalated.

King conceded that he acted out of “greed and stupidity,” buying goods on Amazon and selling them on another website.

He said he had made £9,000 from the dishonest trading and had £500 of it left.

Mr Adams said that police searched King’s home and seized TV sets, large fridge freezers and other electrical items.

The court heard that King had four previous convictions for nine offences, they included possession of offensive weapons but nothing for fraud.

King’s solicitor advocate, Saf Salam, said his client had made full and frank admissions to his employers and the police. He had pleaded guilty at the first opportunity at Bradford and Keighley Magistrates Court.

King told his probation officer he knew he stood a high risk of being caught because the fraud left “an online footprint.”

He had used the money to pay off household debts and to fund family outings for his partner and their three children.

King had lost his job at Morrisons but found new employment.

Mr Salam said he was very remorseful and his behaviour since the fraud had been exemplary.

Judge Jonathan Gibson sentenced King to 16 months imprisonment, suspended for 18 months, with 200 hours of unpaid work. He must also complete 30 rehabilitation activity days with the probation service, including taking part in the Thinking Skills Programme.

Judge Gibson said there was no evidence that the fraud had funded an unusually lavish lifestyle. King was very remorseful and he had not sought to blame anyone else for his wrongdoing.

The judge reserved any breaches of the order to himself.

He also set a timetable for a Proceeds of Crime Act hearing.

After the case, The Telegraph & Argus asked Morrisons if it wanted to comment on the outcome of the court proceedings, but the supermarket giant did not wish to say anything.