A CLUB boss conned staff and investors into handing over thousands of pounds to prop up his failing bars.

Anthony Porter, aged 33, of Whalley Avenue, Johnson Fold, set up The Phoenix Pub Company and pretended he had 16 bars and clubs across Greater Manchester to secure bonds from employees and credit with drinks suppliers.

But in reality he only had two leases - on the Park Hall Hotel in Dukinfield, Manchester, and Fuzion in Oldham - and he managed to run up debts of more than £40,000.

At Manchester's Minshull Street Crown Court, Porter admitted four offences of obtaining money by deception, seven offences of obtaining property by deception and five offences of obtaining services by deception.

He was sentenced to 250 hours unpaid work for the offences which were committed between November, 2005, and early 2006.

The court heard Porter raised £22,000 by asking staff for "security bonds" when he recruited them, promising them wages, free accommodation and a share of the profits. He gave them a written agreement that after 12 months they would get the money back.

Prosecutor William Baker said: "In fact he had deceived them. He had used this money to keep the bars afloat. In a matter of weeks, it had all gone.

"The suggestion he ran a successful chain with 16 bars was lies."

Porter then hired a decorator who painted the club and fitted a sound system, costing £4,250, but could not pay.

When the decorator phoned for his money, Porter's company secretary Paul Blench told him he would receive it. Mr Baker added: "By March, 2006, they were still trying to keep the thing afloat when they should have stopped well before.

"They should not have got the work done without having the funds."

Porter also raised £20,000 by getting drinks on credit from suppliers on 10 separate occasions.

"Clearly they were living off the cash being generated," added Mr Baker.

Brian McKenna, defending, said: "The nightclub in Oldham simply did not take off, it ran for a period of four months. He continued putting money into it and it still did not flourish. Week on week he was losing more money."

Judge Adrian Smith said: "There are a lot of losers in this case to the tune of over £40,000.

"I accept you did not set out to rip people off. You genuinely intended to make a go of it, it was a dream."

Blench, aged 28, also of Whalley Avenue, admitted one count of obtaining money by deception and was given an 18-month conditional discharge.