Bermuda Commercial Bank has been awarded almost $2.5 million against a former employee in the Supreme Court, but may have problems locating the Devonshire woman for payment as she appears to have skipped the Island.

The bank had been suing former senior employee Gloria Spence in the Bermuda civil courts for the millions after filing a writ in August last year, while Police have been investigating the alleged theft of the money.

The bank had announced in its annual report to shareholders in November, 2001 that it had written off nearly $2.4 million after an unnamed former employee ran up "unauthorised transactions".

In February a legal notice was printed in The Royal Gazette stating the bank was looking for a summary judgement against Mrs. Spence, and her failure to appear in court meant that the judge automatically awarded Bermuda Commercial Bank (BCB) $2,451,317.60, plus interest and costs.

"The matter is still in the hands of the Police," said a spokesperson for Bermuda Commercial Bank when contacted by The Royal Gazette.

In response to the court ruling, the spokesperson said: "We started a lawsuit and this is the outcome."

Now BCB can try and recover the money but Mrs. Spence, who was a global custody administrator at BCB before resigning her post, is said to have left the Island and her whereabouts is unknown, according to Police and legal sources. In September, The Royal Gazette reported that fraud officers had been called into the bank to investigate allegations that a former employee had stolen more than $1 million.

But the full extent of the alleged fraud only came out in the annual report when the bank had to account for the missing money to shareholders.

The report said: "Unusual items consist of a reserve taken for unauthorised transactions of a former bank employee that were identified during the year.

"Management of the bank has estimated the financial impact of these unauthorised transactions at $2,369,623 before insurance recoveries.

"Management intends to vigorously pursue insurance coverage on these losses and will record a receivable from its insurance provider when both the amount and collectibility are reasonably determinable."

Commercial Crime Unit detectives are still working on the case but have not as yet brought charges against anyone in the matter. "The investigation is still active, but no charges have been brought," said a Police spokesperson. "These things sometimes take a little longer than expected. We are dotting all the I's and crossing all the T's."

But he declined to say whether Mrs. Spence was still on the Island or whether her whereabouts was known to Police.

In August, Commercial Crime Unit detectives arrested an unnamed 41-year-old Devonshire woman - believed to be Mrs. Spence - after management at the bank became alerted to a serious of suspicious transactions.

The Royal Gazette understands management at the bank discovered the irregular transactions during an internal audit and called in the Commercial Crime Unit with a report of a theft. Detectives arrested the woman, who had resigned from her position as at the Commercial Bank, but she has not yet been charged with any offence.