A Government Minister last night denied allegations she granted thousands of dollars to a programme run by a convicted fraudster.

Culture Minister Neletha Butterfield is said to have approved a grant for a Cultural Legacy Fund to Harrison Isaac Jr., who defrauded Government of almost $2 million in 2003-4.

Last night ZBM News reported allegations that after an original grant for $90,000 was turned down by the Ministry, Ms Butterfield advised Mr. Isaac to reapply but to leave his name off the application form.

He subsequently applied for a $7,500 grant for the AJ the Little Gombey mascot educational programme.

This was one of ten grants from Government's new Cultural Legacy Fund, announced last week.

However, according to ZBM News, while Ms Butterfield signed it off, her Permanent Secretary Wayne Carey allegedly put a note on the grant application, saying he did not endorse it.

Last night a Government spokesman refuted the allegations.

He said: "The original application to the Cultural Legacy Fund by Taariq Tucker and Harrison Isaac Jr. for $90,000 was turned down by the Ministry.

"A subsequent application for AJ the Gombey's educational programme for all the primary schools made by Mr. Duval Spencer was approved by the Minister for $7,500.

"Minister Butterfield wishes to state that she has never spoken to or seen Harrison Isaac Jr. with regard to a Cultural Legacy Fund application."

Head of the Civil Service, Kenneth Dill, was unavailable for comment last night. Mr. Spencer is Mr. Tucker's father and is well known for his cedar sculptures of Gombey Dancers.

He said he created the AJ the Little Gombey mascot to encourage communication between adults and young people.

"AJ the Little Gombey is a cultural icon that represents the positivity in the community and speaks directly to the youth," he told this newspaper last November.

Mr. Tucker, part of the cultural programme Up With People, was to serve as the ambassador for the initiative.

Mr. Isaac was jailed for four-and-a-half years in 2006 for defrauding Government of $1.9 million.

He was a former management accountant in the Accountant General's Department who swindled the cash from May 2003 to April 2004.

The money was stolen from a Government Internet account with the Bank of New York and moved to various US accounts.

Mr. Isaac was arrested at Bermuda Airport in April 2004 trying to flee the country. He was extradited to the US in 2005.

In August 2006 he was jailed after pleading guilty in a New York federal court to 15 fraud-related charges. He has since been released.

After his arrest it emerged Mr. Isaac was not even qualified as a Certified Public Accountant (CPA), but his qualifications were never checked.

Although his assets were seized to repay the stolen $1.9 million, it is estimated only $300,000 has so far been recovered.