Bridal shop employee faces jail time for defrauding dozens of brides, court hears

Narelle Labuts, a 61-year-old former accountant for a company that operated IGA supermarkets in New South Wales, has received a jail sentence for defrauding nearly $878,000 from her employer. Labuts was found guilty of stealing the money through fraudulent accounting practices and later admitting to losing almost all of it through gambling. She was sentenced to three and a half years in prison with a two-year non-parole period at the Newcastle District Court on Wednesday. The case highlights how a seemingly minor breach of trust escalated into a major criminal enterprise involving sophisticated methods to conceal the theft. Labuts worked for the Singh Group, which owns 10 IGA stores in the Hunter Valley region. Her role allowed her access to sensitive financial information, which she exploited over a four-year period. According to court proceedings, she manipulated 522 transactions by using white font to obscure the nature of the withdrawals. This method enabled her to siphon off large sums without immediate detection. In 2021, her actions were uncovered when a bank flagged an unusual transaction, leading to her termination from the company. Following her dismissal, Labuts faced legal action. Police charged her in October 2024 with obtaining financial advantage by deception and creating false documents to secure such advantages. She entered a plea of guilty late last year, acknowledging her wrongdoing before the court. During the sentencing hearing, Judge Tim Gartelmann SC noted that what initially appeared as an opportunistic act evolved into a well-planned scheme requiring substantial organisation. He emphasized the need for strict penalties to deter similar crimes, stating that fraud is often easy to commit yet difficult to detect. During the trial, Labuts admitted that she had only managed to repay a small portion of the stolen funds, $3,500—and that the IGA network recovered an additional $9,000 by withholding her entitlements. She explained that approximately 90 percent of the embezzled amount had been spent on gambling, primarily on poker machines. When questioned about the remaining $80,000, she confessed that she could not account for its whereabouts. Labuts expressed remorse for her actions, acknowledging that she had betrayed the trust placed in her by her employer. Despite her admission of guilt, Labuts claimed that she was seeking help for her gambling addiction, having started counseling sessions in June 2022. However, she disputed the Crown’s assertion that her pursuit of treatment was solely motivated by being caught. She indicated that she would likely inform future employers about her conviction, recognizing that it was now public knowledge. Her defense lawyer, Stephen Hopper, underscored her efforts to address her addiction and seek professional assistance. Labuts has since taken up work as a bookkeeper for a transport and a concreting company. However, she did not elaborate on the circumstances surrounding her sudden departure from the IGA network. She is set to become eligible for parole in July 2028, according to the terms of her sentence. The case serves as a cautionary tale about the consequences of financial misconduct and the personal toll it can take on individuals who find themselves ensnared in cycles of addiction and deceit.