A fraudster who pocketed thousands of pounds in benefits despite having £139,000 in savings and plans to invest in the Dubai property market has avoided jail.

Phillip Clarke illegally collected £18,345 income support over two-and-a-half years before the scam was discovered. Miss Laura Culley, prosecuting, told Wolverhampton Crown Court yesterday: “He was found to have something in the region of £139,000 and admitted that this was from the sale of a property. He had tried to invest in property in Dubai but there was a problem.

“He also owns a house in this country,” she added.

Mr Chris O’Gorman, defending, said Clarke had invested £90,000 in Dubai but now had just £4,000 in a savings account.

He told the court: “The investment came to nothing because the property was not completed. Steps are now being taken to seek authority in Dubai to return the money.  Action is being taken through solicitors. He is now living in the house that he owns.”

Clarke, from Horace Partridge Road, Moxley, who had previous convictions for offences including dishonesty, pleaded guilty to making a false statement to obtain benefit and failing to disclose information about his capital.

The fiddle started with his initial application for income support benefit in April 2008 and he continued to illegally pick up the money until his fraudulent claims were discovered on September 3 last year.

The 43-year-old was given a six-month jail sentence, suspended for two years, and ordered to carry out 150 hours of unpaid work.

Judge John Wait told him: “When you dishonestly made your claim you were stealing from the rest of us – those who honestly pay their taxes to provide benefits for those who do not have the means.

“You do have the means and greedily decided to have more. You have shown in the past that you can act dishonestly and you did so again.”

The judge warned that Clarke now faced the prospect of remortgaging or selling his current home to pay back the money he took.

Proceeds of Crime proceedings are likely to be held early in the New Year during which he would be forced to prove where his money has gone.