Malcolm Simpson, owner of Champion Travel, sentenced for defrauding Drakes Supermarkets of $207,250

A “proud businessman” and prominent Adelaide sporting figure had no money in the bank when he defrauded Drakes Supermarkets of more than $200,000.

Adelaide 36ers ex-chairman Malcolm Simpson had no money in the bank when he deceived Drakes Supermarkets into paying him for services he couldn’t provide.

Simpson, 72, walked free from the Adelaide District Court on Monday, after he defrauded $207,250 to try to keep his own business afloat.

Malcolm Simpson avoided jail for five counts of deception. Photo: Facebook

Simpson’s initially successful company Champion Travel collapsed with debts of almost $1.6m in 2018.

The travel agency had a longstanding relationship with Drakes Supermarkets in organising travel and accommodation for their annual conference.

“In 2017 Champion Travel was engaged to assist in organising the Drakes’ 2018 conference,” Judge Joanne Tracey said during sentencing.

“At the time you were operating bank accounts which were either in debit or which held no funds.”

The court heard Simpson asked Drakes for payments for the conference but instead used the money to keep his business afloat.

“The total amount of money transferred by way of the deception was $207,250,” Judge Tracey said.

“You had multiple loans and credit cards propping up the business, ultimately, when Drakes severed their relationship with you, many other contracts that you were working on were also terminated.”

Simpson, of Hindmarsh Island, had previously pleaded guilty to five counts of deception.

The court heard Champion Travel went into liquidation and Simpson filed for bankruptcy in August, 2018.

Champion Travel was incorporated in 1994, which turned to focusing on sports-based trips helped by Simpson’s contacts and reputation in basketball.

Simpson spent 15 years as the 36ers chairman and helped secure their home stadium at Findon.

“You say you are a proud businessman who is very embarrassed by your offending,” Judge Tracey said.

“You feel as though you have lost everything that is important to you including your marriage.

“Drakes management and staff feel betrayed and let down by someone they had trusted for 12 years.”

Judge Joanne Tracey sentenced Simpson to three years and three months jail, with a two-year non-parole period.

The sentence was suspended on a three-year good behaviour bond of $1000.