The finance manager of a children’s nursery has been jailed for two-and-a-half years after stealing more than £200,000 from her employer.
Kerry McGavigan, 37, of Leigh-on-Sea, Essex, was arrested in July 2024 and subsequently charged with three counts of fraud by false representation.
She worked for seven years at The Enchanted Wood Nursery in nearby Benfleet, which takes care of children from aged three months to five years old.
McGavigan had sole responsibility for the nursery’s accounts and during her time there made £207,000 in fraudulent payments, a court heard.
The fraudster raised numerous false invoices for work which was either never carried out or was performed at a fraction of the billed cost, with the excess money associated with those fake invoices simply paid into her own accounts.
The finance manager also spent about £20,000 using the company’s credit card fraudulently.
Her actions were reported to police after another member of staff cottoned on to her fraud when the nursery’s accountants noticed missing documentation relating to companies that the nursery had never used.
One invoice showed £20,000 being paid to a nonexistent electrical firm, despite no work having been done on the nursery’s lighting system.
Nursery finance manager Kerry McGavigan, 37, of Leigh-on-Sea, Essex, was jailed after financial investigators uncovered the scale of her fraudulent activity
In other instances authentic bills were inputted into the nursery’s accounts at drastically marked-up rates.
McGavigan listed an £8,000 payment for a security system which in actuality cost somewhere between £2,000 and £2,500.
She had her contract terminated as the police investigation unfolded and more examples of fraudulent activity became clear.
Economic crime specialists were also able to use a production order to examine McGavigan’s bank account.
Aside from her legitimate salary, McGavigan had transferred £152,477.35 into her current account since November 2021.
The fraudster also had a Child Saver account into which she had paid an additional £25,173.65 in unauthorised payments from the nursery’s account.
Despite the scale of her fraud, police discovered that McGavigan had no assets and had been consistently in her overdraft for a two-year period.
She admitted each count before a trial was due to take place and was sentenced at Basildon Crown Court on Tuesday 1 April to a total of two-and-a-half years in prison.
McGavigan worked for The Enchanted Wood Nursery in Benfleet for seven years, during which time she made £207,000 in fraudulent payments to herself
DC Matthew McGarry, of Essex Police’s economic crime unit said: ‘I remain in awe of the members of staff who came forward, who effectively worked under McGavigan, to present their concerns.
‘At all times, they have been nothing short of incredibly helpful and patient as this complex investigation progressed.
‘I know McGavigan’s actions have come at a great cost – both financially and mentally – to the nursery and its hard-working staff and they have always been honest with their families about the ongoing investigation.
‘I sincerely hope that the sentence, which entirely reflects McGavigan’s offending, can help them continue to move forward and build upon their successful and responsible business.’
