An accountant stole more than £250,000 of his clients' tax money to fund a luxury lifestyle for himself, his wife and his mistress.
Darren Upton, 40, now faces jail after ripping off dozens of business owners from his firm in Wakefield, West Yorkshire.
They relied on Upton to settle their tax bills, but he instead diverted the cash into his own bank account.
In total the accountant left 33 clients and the taxman with losses of more than £500,000.
The married father-of-one used the money to help fund a secret relationship with make-up artist and part-time model Victoria Fraenzel, who he met on a dating website.
Over 18 months, Upton, of Leeds, West Yorkshire, paid £800-a-month for his secret lover to live in a plush flat in Salford, Manchester, and gave her a living allowance.
He also bought her extravagant with gifts, including a Mercedes, lingerie from Ann Summers, clothes from Harvey Nichols, expensive Mulberry handbags.
They enjoyed nights out at various Hilton Hotels and Miss Fraenzel – who had no idea he was married - considered herself his girlfriend.
As well as lavishing funds on his mistress, he also splashed out on luxury cars for himself, paid £10,000 for a box at Leeds United, spent £3,000 on model railways and bought designer clothes and handbags for his wife.
Leeds Crown Court heard that Miss Fraenzel had no idea Upton was married and had an 18-month-old child with wife Tina.
She only found out when she rang his business premises asking to speak to him but was instead put in contact with Mrs Upton.
Upton admitting 15 offences of fraud between January 2010 and June last year and asked for 23 further similar offences to be taken into consideration.
He also admitted contempt of court by breaching a restraining order made when he was arrested last March which limited him using the firm's accounts for legitimate business purposes.
Despite the order he used £14,500 to refinance a Bentley Continental and a Maserati used by his wife, both of which had personal number plates.
Prosecutor Nick Worsley said Upton was the director of Upton and Co Accountants in Wakefield, and his wife was company secretary. The firm had around 800 clients, mainly small IT companies.
The offences related to the paying of his clients' corporation tax. Instead of paying directly to Her Majesty's Revenue and Customs clients were given Upton's account details and the monies were directed there.
A couple of clients realised they had the wrong details and made correct payments but Upton fobbed off clients when questions arose. Staff at his firm reported him to police following increased concerns.
Darren Upton met make-up artist and part time model Victoria Fraenzel on a dating website
Family man: The home in Leeds where Upton lives with his wife Tina and their 18-month-old child
The total loss to HMRC and the 33 clients in the charges was £236,000. The total loss involving all counts was £532,000.
Mr Worsley said many of the clients he deceived felt totally betrayed as they regarded him as a friend, one even had Upton as a guest at his wedding.
Other victims said their businesses had been left close to collapse and they had suffered ill health.
One said: 'I am absolutely devastated I have been left in this position and it has had a massive effect on my business.' He said he could no longer employ more staff because of Upton's betrayal.
James Littlehayles, for Upton, said he made a legitimate annual profit of £250,000 but had to pay debts of £10,000-a-month to the Financial Services Authority after he got involved in an unregulated business venture.
He said: 'He was not prepared to cut back on his lifestyle. Rather than give up his box at Leeds United and the vehicles which he had previously legitimately funded he then starts to misappropriate clients' funds.'
Upton was remanded in custody until his sentencing at a later date.
Luxury: Upton used £14,500 to refinance a Bentley Continental, pictured, which was in breach of a court order issued when he was arrested (library picture)
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