A FRAUDSTER and his wife who enjoyed the high life have been ordered to pay back £127,000 to a Clitheroe company.

David and Carolyn Walsh have to repay cash stolen from Concept Building Solutions, where David worked as an accountant, within six months or face a further two years in jail.

Preston Crown Court heard Walsh stole £680,000 and his now ex-wife received £135,000 - but their current assets amount to £127,000, which should be paid back to the company.

Police said that the ruling meant that David Walsh would ‘return to nothing’ when he is released from prison.

Blackburn-born Walsh, 39, is serving seven years for money laundering, theft, perjury and perverting the course of justice.

His 43-year-old ex-wife is serving 15 months for money laundering and perverting the course of justice.

Police say the thefts began almost immediately after Walsh started working at the Hey Road firm and within two years he nearly put them out of business.

On the surface he was a respectable businessman who bragged of a £10m fortune and owned a fleet of luxury cars and property in Spain and Dubai.

He became famous after launching a Dragon’s Den-style hunt for entrepreneurs, promising to invest £100,000 in the best ideas.

Today at Preston Crown Court the couple, of Princes Reach, Ashton-on Ribble, Preston were ordered to repay £127,000 of assets within six months - or face another two years in prison and still have to repay the debt.

Walsh's deception was uncovered in January 2006 when his company contacted police over missing funds.

Walsh denied being dishonest, claiming funds were on their way - however the money was laundered through his wife's bank account. Between May 2004 and January 2006, he stole £682,006 from his employers.

Carolyn Walsh laundered money through her bank account before it was spent on jewellery and stays in hotels like Claridge’s. The couple also sold £80,000 worth of vehicles, including a Mercedes, Ferrari and BMWs to pay off debts despite a court order banning these sales.

Financial Investigator DC Rod Steele from the Serious & Organised Crime Unit Financial Investigation Unit said: "This marks the end of a long and arduous inquiry spanning more than two years. This case sends out a clear message to others that despite Walsh's guilty pleas and custodial sentence, Lancashire Constabulary will not allow criminals to profit from crime. Today we have ensured he will return to nothing on leaving prison.

"He lived a life well beyond his means and abused the trust of his employers. Even when arrested in July 2007 he still maintained Concept owed him between £500,000 and £600,000 because he had a five per cent share in the company.

"Carolyn Walsh was a woman of previous good character but her life has been shattered by these events.

"Ultimately she will be left with nothing financially.

"At 43 years of age this lady has to rebuild her life after her release from prison."

Concept Building Solutions declined to comment.