A car dealer was jailed for two years yesterday after a court heard that he defrauded finance companies out of thousands of pounds.

Robert Retallick, 42, falsified loan applications for customers and invented car deals to get money for his failing business.

He printed letterheads for seven fictitious companies and even provided wage slips, bogus building society books and passports.

Retallick, who ran Haughton Road Cars and Fleet Cars in Darlington, pleaded guilty to conspiracy to defraud three finance companies last year.

He also advertised another business - Royal Midland - guaranteeing credit which was nothing more than a phone in his back office that he answered with a false name, said Paul Newcombe, prosecuting.

Retallick, of The Green, in Seamer, near Stokesley, admitted submitting 16 dishonest transactions totalling almost £52,000.

He asked for 12 other offences to be taken into consideration relating to sales worth over £90,000

Dan Cordey, defending, said: "The finance companies we are dealing with frequently targeted people who usually could not obtain finance elsewhere."

Judge Guy Whitburn QC, jailing Retallick for two years, told him: "What is absolutely clear is that you had literally an engine of fraud operating from your garage."

Two of his employees also pleaded guilty to conspiracy. Brian Ireson, 52, of Brankin Drive, Darlington, was ordered to do 100 hours community punishment and ordered to pay £500 costs. Neil Atkinson, 28, of Bellerby Road, Hartburn, Stockton, who has since won Sales Person of the Year at another firm, was fined £750 with £250 costs.