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Manager of Michelin star restaurant sacked after CCTV showed him pocketing £200 bill, tribunal heard

The general manager of a Michelin star restaurant was sacked after a diner paid with cash and he was caught on CCTV pocketing it and binning the bill, a tribunal heard. Guy Palmer-Brown, 35, had taken the payment of £200 from a regular, wealthy customer who was well known for paying in cash, the hearing was told.

After another staff member highlighted a surprisingly low amount of cash from that night in the till, owner and acclaimed head chef Daniel Smith viewed CCTV footage from that night. The tribunal heard that Mr Smith, named Observer Young Chef of the Year in 2016, was shocked to see Mr Palmer-Brown collect the customer's payment, walk to the end of the bar, count the cash before putting it in his pocket and then toss the bill into the waste bin.

The hearing was also told that later Mr Palmer-Brown even returned to the restaurant, when he felt he was under suspicion, turned the CCTV cameras off and tried to put the cash back. Mr Smith suspended him and, following an internal investigation, he was fired.

Mr Palmer-Brown then sued, claiming he had been unfairly dismissed. However an employment tribunal has now ruled against this.

The hearing was told Mr Palmer-Brown, Mr Smith and Natasha Smith set up the Fordwich Arms, in Britain's smallest town of Fordwich, near Canterbury, Kent, in 2017 as shareholders and directors. Mr Smith acted as Head Chef, and he and Mrs Smith were largely responsible for back of house.

Mr Palmer-Brown was responsible for front of house, dealing with finances, payroll and the day-to-day running of the business. Within ten months, the restaurant was awarded a Michelin star which it retains.

In January 2020, a regular customer, referred to only as Customer X, came to the restaurant and it was well-known they often paid with cash. The tribunal heard Elliot Bolley-Smith, the restaurant manager, cashed up that day and was surprised to find just £80 was in the till.

The hearing was told Head Waiter Oliver Ridge informed him he had seen Customer X pay cash to Mr Palmer-Brown. When Mr Bolley-Smith looked on the restaurant's payment system he spotted the bill for Customer X's table had been voided, so he texted Mr Palmer-Brown to ask about it.

Mr Palmer-Brown replied, saying the customer had paid by card, then sent a follow-up text saying he gave the money to the bartender, Dawn. He texted again later that evening, saying: "Maybe I had [Customer X's] payment in my jacket thinking about it."

The next day, when the business was closed, Mr Palmer-Brown returned to the Fordwich Arms, the tribunal heard. The panel was told that at 11.28am, the CCTV security cameras stopped working, and at 11.30am, he caused a bill of £181.00 plus 12.5 per cent service charge to be produced and inputted data to say it was paid.

Mr Palmer-Brown then left the cash payment he received from Customer X on the desk together with the bill. Just before 11.40am, the CCTV cameras were switched on again, and Mr Palmer-Brown left the premises five minutes later.

Two days later, he returned to cash up with Mr Bolley-Smith, and the bill and cash he left in the office meant the figures matched up. That evening, Mr Smith reviewed the CCTV footage.

The tribunal heard that footage from Sunday January 26 showed Customer X dining with two guests at table 7. "[Mr Palmer-Brown] removed the dessert menus from the diners at table 7 at 4.42 pm.

"At 4.47 pm [he] presented the bill to the customer at table 7," it was said. "At 4.51 pm [Mr Palmer-Brown] collected cash payment from the customer.

"Having done so, [he] walked to the end of the bar. Here, he counted the money before putting the cash in his pocket and disposing of the bill in the waste bin.

"At 4.52 pm [he] inputted data into the PoS terminal in the dining room. [He] left work early that evening."

After talking to Mr Bolley-Smith and Mr Ridge, Mr Smith phoned Mr Palmer-Brown and suspended him, launching an internal investigation. The allegations of misappropriation of funds were proven, and Mr Smith sacked him for gross misconduct in April 2020.

Mr Palmer-Brown appealed this dismissal. When this was rejected by Mrs Smith he sued, claiming wrongful dismissal and that he was dismissed before the internal investigation took place.

Employment Judge John Bertram Pritchard ruled against these claims at the tribunal, held remotely, saying it had been reasonable to sack him and Mr Smith and Mrs Smith had dealt with him fairly. He said: "The Tribunal is satisfied that both Mr Smith and Mrs Smith held a genuine belief in the Claimant's misconduct, based on reasonable grounds following as much investigation as was reasonable in the circumstances.

"[Mr Palmer-Brown] was in a position of trust and a member of senior management. The decision to dismiss for the dishonesty shown by [Mr Palmer-Brown] was well within the band of reasonable responses.

"The decision to dismiss was not taken before the conclusion of [Mr Palmer-Brown's] grievance. The Tribunal must have regard to the size and administrative resources of the employer's undertaking.

"Since Mr Smith had handled [Mr Palmer-Brown's] grievance, the only person left to consider his grievance appeal was Mrs Smith. The Tribunal has considered the documents relating to the grievance appeal and is satisfied that Mrs Smith dealt with it impartially and fairly."

The Fordwich Arms on the banks of the River Stour is described as boasting 'a lovely 1930's bar and oak panelled dining room with three open fires' and 'a beautiful dining terrace and garden with views over the Stour'. Its website adds: "Chef-patron Daniel Smith was recently awarded Observer's Young Chef of the Year and his seasonal menu focuses on provenance, showcasing the best of local Kentish ingredients, sourced direct from local farms and producers."

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