A social services team leader stole £21,000 of council cash to fund his chronic gambling addiction when he was mentally unwell.

Paul Derek Martin was spared immediate imprisonment and given a suspended jail sentence instead because of his illness, which included depression.

It was estimated the 41-year-old Leicester City Council employee placed bets of more than £150,000 on an internet gaming site between 2005 and 2008.

Martin, who had been earning between £25,000 and £30,000 a year, pleaded guilty at an earlier hearing to stealing funds belonging to his department, the Children and Young People's Services. It was money earmarked for emergency payments for those desperately in need, between January 2004 and December 2007.

He was originally accused of taking £42,320, but the prosecution accepted his admission to pocketing £21,000.

At Leicester Crown Court yesterday, he received a 51-week jail sentence, suspended for two years, with supervision.

He was also ordered to do 240 hours of unpaid work.

Martin also faces a proceeds of crime hearing, when his assets will be scrutinised, and he is expected to be ordered to re-pay all the money.

Sonia Gilhespy, prosecuting, said Martin was heading a 10-strong team of social workers for five years.

His role included guiding and monitoring the case workers.

He abused his position of trust and one of his staff reported her suspicions about his increased raising of emergency payments.

A city council investigator unearthed 353 suspicious pay-out forms with the defendant's name on.

Mrs Gilhespy said: "Of those, 152 forms were taken and shown to supposed recipients and they said they hadn't received the money.

"Also, 55 others had never been on the social services database, or their cases were closed.

"Out of the 353 payments, only six were found to be genuine."

On many occasions, Martin involved his staff in processing the paperwork, or collecting the cash, which they trustingly handed over, believing it was going to people in dire need, for essentials such as nappies.

He was arrested on May 23 but made no admissions.

Felicity Williams, in mitigation, said: " He's suffered from a mental illness and continues to suffer symptoms.

"He's lost a profession he's been in for many years and was proud of and also lost a long-term relationship.

"He was under huge strain at the time, with increasing depression.

"The department was struggling and some the issues caused him problems. He felt a sense of relief when he was caught."

Martin, who has moved from Leicester to Bettws, Gwent, stopped betting after he was caught and has been attending Gambler's Anonymous – now helping to mentor other sufferers.

Recorder Stuart Rafferty QC said: "Even before he began this work he was suffering from a chronic gambling problem, pathological gambling, which is categorised as a mental illness and he was suffering from depression as well."

He told Martin: "The wickedness in what you did was that the money was set aside for people in more need than you. If I thought you had no mental illness at the time I wouldn't hesitate to pass a sentence of between two and three years, because the public would expect it."