The former director of a financial services firm has won his tribunal claim for more than £90,000 in unpaid wages.

But he has lost his claim for unfair constructive dismissal.

Bryan Chatwin was employed by St John’s-based Captima Ltd from at least 2012 until he resigned in September 2023.

He had been appointed director in October 2019 and was being paid a salary of £75,000 a year.

Mr Chatwin was not paid his monthly salary of almost £5,000 net from July 2022 until his resignation except for one month in October 2022.

The tribunal heard that Captima had been in business for several years providing real estate financing services by introducing funders to investment opportunities.

But following some good years, trading became more difficult in about 2022 and, since then, had received little if any income.

Its significant reduction in income led to the failure to pay Mr Chatwin.

However, payslips were issued as if he was paid.

As a result, the Income Tax Division raised its concerns to Captima because the employer’s deductions for income tax and National Insurance were also not paid.

Under the threat of prosecution by the tax office, Mr Chatwin’s line manager and fellow director Mark Watson suggested he took part in an arrangement with the tax office whereby he agreed that his unpaid salary became payable as directors’ fees instead, which would mean it was taxed differently.

He refused and resigned with immediate effect on September 29 2023. He had no immediate other employment to go to or job offer.

Mr Chatwin had initially provided work for Captima via his personal services company Holte Consulting Ltd under a consultancy agreement from January 2009 until January 2012.

He was subsequently provided with a contract of employment.

The tribunal concluded that Mr Chatwin’s complaint of unfair dismissal had failed as there had been no fundamental breaches of the employment contract.

It queried why he had chosen to resign without delay, when he had not done so for the many months previously during which he had not been paid.

The tribunal found the suggestion he be paid as directors’ fees was not improper.

‘It may have been a surprise or brought into focus the severity of the position - but it was deployed to find a way forward for the company to continue its relationships with Mr Chatwin and not to destabilise these,’ it said.

While it dismissed the claim for unfair dismissal, the tribunal found proven two underpayments.

The first was for non-payment of salary for five months in 2022 and from January 2023 until September 29 that year - a gross figure of £87,240,41.

Secondly, there was non-payment of holiday pay accrued but untaken at the date of resignation. This was assessed at 10 days’ holiday gross pay, a total of £2,876.80.

This took the total amount awarded to £90,117.21.

At an extraordinary general meeting of Captima Ltd in Jersey on June 12 this year, it was resolved that the company’s name was changed to Gorse Resolution Ltd.