The long-running Princess Yachts fraud trial has resulted in guilty verdicts for both Glyn Thompson and Darren Tallon

Former Princess employees Glyn Thompson and Darren Tallon have been found guilty in the long-running Princess Yachts fraud trial.

The jury returned a unanimous verdict yesterday (February 4) after eight hours of deliberation and a three-month court case, the Plymouth Herald reports.

Mr Thompson and Mr Tallon face sentencing next week, however Judge Paul Darlow told their barristers: “As an act of compassion, your clients can have bail, but [given] the level of fraud we are talking about here, custodial sentences are inevitable.”

Mr Thompson, 57, was appointed as facilities manager at Princess Yachts in July 2009 and the court heard how he had orchestrated a complicated fraud between 2010 and 2013 using a front company called Construction Solutions South West.

This involved submitting inflated invoices for work on the South Devonport dockyard and taking cash bribes in envelopes totalling more than £36,000.

His assistant Roger Truen has already pleaded guilty to his involvement in the fraud, which totalled more than £1m.

Meanwhile, Mr Tallon set up Mulberry Developments, a subcontractor which acted as a front to charge these hugely inflated invoices to Princess Yachts.

The fraud only came to light when contractor Steven Crombie reported it to Princess Yachts in July 2013. The court heard that Mr Crombie asked for a car and relocation expenses in return for the information.

Chris Gates, managing director of Princess Yachts, took the stand at Plymouth Crown Court to give evidence against the conspirators.

He defended the corporate culture at his company, saying: “We are a frugal company. We like to keep an eye on every penny we spend.

“We have a very strong code of discipline within the company,” he added. “If people do not their job then they will be dealt with.”