Ex-football club chairman defrauded junior club of £22,491 to fund cocaine habit
Ex-football club chairman defrauded junior club out of £22,491

Karl Morecroft, the former chairman of Blaenau Gwent's RTB Ebbw Vale junior football club, has been sentenced for defrauding the club of £22,491 to fund a cocaine habit over 15 months.

The 45-year-old lied to fellow volunteers about where the money was going and even faked documents from HMRC to avoid suspicion, Cardiff Crown Court heard.

The Fraud

Prosecutor Denise Osei said the defendant repeatedly lied about making "out of pocket" payments for which he requested "reimbursements" from the treasurer Joshua Holvey. At times Morecroft would himself transfer money from the club's account to his own.

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Morecroft, who coached the under-eights and under-nines before becoming chairman in 2023, pretended the money was for "football equipment, council liabilities, Companies House fees, charity registration costs, and business penalties".

Eventually Mr Holvey became suspicious as spending had "exponentially grown" and the club was not seeing any of the goods supposedly ordered. When the losses were raised with Morecroft in early 2025 he protested his innocence and continued to give false excuses.

Only after a report was made to police did Morecroft admit the fraud. He claimed he would pay back the £22,491 but by the time of Monday's sentencing he had failed to do so apart from a single payment of £1,232 in May last year.

Impact on the Club

In a victim impact statement Mr Holvey detailed how the fraud had affected his mental health. "I never questioned his intentions. I was naïve and assumed someone in his position would act with integrity so I would send money whenever I was asked. Looking back I feel a deep sense of guilt and shame for not recognising the warning signs."

"Thousands of pounds have been lost leaving the club struggling to recover and its future uncertain. I have lost confidence in my own judgement and feel responsible for allowing the situation to escalate. I joined the club to contribute positively but instead I feel I have enabled wrongdoing. It caused me to consider ending my own life and I have sought counselling to cope with the impact."

The club's secretary Rachel Edwards said its finances were under "severe pressure" because of Morecroft, adding: "We were forced to secure short-term borrowing simply to fund end-of-season trophies for our players."

"We were unable to carry out essential maintenance and there was deterioration of our pitches. We could not pay for winter training facilities on time, which are vital in keeping children active during the winter months. Coaches have had to make do with worn-out resources. We missed a deadline to enter a 30-year lease of the building, which will have a serious long-term effect."

Sentencing

Morecroft's barrister Jeff Jones said his client's partner had secured a £10,000 loan which could be paid immediately towards the compensation. But Judge Paul Hobson questioned why he was relying on his partner particularly given Morecroft has been in a well-paid job since before the offence was exposed.

The judge asked: "Why has he not been putting money to the side over the last 16 months when he has not been paying £1,000 a week on cocaine?"

Mr Jones replied the defendant "had other debts", adding: "He has been a good parent and he is drug-free after an addiction to the pernicious drug cocaine. His partner confirms there is urine dip testing done daily with him to ensure he is drug-free."

The barrister added that ill feeling towards Morecroft in the community had to a degree "spread to his partner" as well as affecting his two children.

His family have experienced some isolation in the aftermath of the fraud and this "eats away" at the defendant, said Mr Jones, who also told the court his client had heart problems, anxiety, and depression.

The judge said Morecroft should have treated this debt as "a particular priority". He told the defendant: "Clubs like RTB are the lifeblood of the local community, bringing people together around something positive. They are run by volunteers giving up their time for no financial reward.

"Those people trusted you – so much so that you were appointed chairman. You betrayed that trust."

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Judge Hobson handed down a 20-month jail term suspended for two years, 180 hours of unpaid work, and 50 rehabilitation days. He ordered Morecroft pay the £21,259 within three years and imposed a default order of 12 months in prison if he fails to do so.