A BENEFIT cheat who falsely claimed jobseekers' allowance could have been entitled to more money had he filed legitimate claims, a court heard.

James Ernest Stanley, of Hundens Lane, Darlington, narrowly escaped prison yesterday after he pleaded guilty to filing false claims for jobseekers' allowance and incapacity benefit.

Magistrates at Newton Aycliffe Court heard how, at the time, he was working as an industrial cleaner for Quality Cleaning Service at the Rothmans factory.

Alan Green, prosecuting for the Department of Work and Pensions (DWP), said the false claims, which were made between July 2001 and December 2004, amounted to £12,456.71.

Mr Green said Stanley was caught after the firm put up a list of its employers.

Chris Bunting, in mitigation, said his client was not somebody who made false claims to fund a lavish lifestyle.

He said Stanley had separated from his wife and was having to bring up his daughter on his own.

Mr Bunting said this was the first time his client had ever had to manage his finances on his own.

He added: "There is an ironic situation where, bearing in mind he's been a single parent and was working a certain number of hours per week, had he done it correctly he would have been able to claim tax credits.

"Now that he's doing that, he's actually receiving more than he used to get in benefits from the Department of Work and Pensions.

"The fact that there would not have been a net loss to the state is something that has to be taken into account."

Mr Bunting said if Stanley was given a custodial sentence, not only would it impact upon his daughter but it would be difficult for him to pay back the money owed to the DWP.

Stanley pleaded guilty to four charges of falsely claiming benefit and asked for 48 similar charges to be taken into consideration.

The chairman of the bench, Beryl Swinbank, said: "This is a very serious offence where you were deliberately signing on to benefit to which you knew you were not entitled."

Stanley was sentenced to a community punishment and rehabilitation order with a two-year supervision requirement, and 100 hours unpaid work.

He was also ordered to pay £75 costs.