A BUSINESSMAN who accused his former partner of fraudulently taking £17,500 from his account while he was in rehab for an alcohol addiction was several thousand pounds in debt at the time.

Heather Davies, 44, of Highfield Road, Pontllanfraith, and the former licensee of Porters public house in Blackwood, is accused of forging cheques for sums up to £10,300 in her partner's name as well as using his debit card to make payments and withdraw over £1,000 in cash.

But yesterday, defending her, Marion Lewis drew attention to the muddled state of the alleged victim Jonathan Smith's finances.

Cross-examining him at Newport Crown Court, Miss Lewis drew attention to the fact he was significantly in debt and had defaulted on a large loan to a finance company.

She put it to him that the largest sum he accused Davies of taking without permission, £10,336.28 was in fact used by her to pay of one of his own debts.

Mr Smith denied that and said: "No. You're missing a step."

Miss Lewis also drew the jury's attention to the fact Mr Smith had in fact entrusted Davies with his debit card and pin number "in case of emergencies" when he went into rehab for his alcohol addiction in May 2006.

The defence team says that Mr Smith and Davies both used money from each other's accounts and businesses and that she made the transactions from his account with his consent.

Proceeding.