A businessman whose mail order computer firm went into receivership with debts of more than £4m has been warned he faces jail after admitting a string of fraud offences.

Company director Charles Forsyth pleaded guilty to offences of fraud and deception totalling more than £1.5m.

The charges related to his involvement with North Yorkshire firm, Personal Computer Science Limited, which went into receivership in 1999 with the loss of 150 jobs.

The charges relate to a period between November 1997 and April 1999.

Following a Serious Fraud Office investigation, Forsyth fled the country and was later arrested in November 2002 and held in an Australian prison. He was eventually extradited from Australia in January last year.

The 44-year-old, of Littleworth, Wheatley, in Oxford, appeared at Newcastle Crown Court yesterday and admitted a string of offences, on an amended indictment.

Judge Guy Whitburn QC, granted Forsyth conditional bail, but warned him he faced a custodial term when he returns to court today to be sentenced.

The case was not opened and details of the fraud were not given in court.

The charges he admitted included securing a £750,000 overdraft facility and a $1.5m letter of credit from the Yorkshire Bank.

He also admitted securing a regional selective assistance grant from the Department of Trade and Industry for £250,000.

The other charges related to the supply of inferior computers and breach of copyright.