A man who was robbed of a cheque for £845 was forced to pay his perpetrator £13,000.
The businessman placed a sign around the employee saying ‘thief’ and marched him to a police station.
Simon Cremer claimed Mark Gilbert had stolen a cheque for £845 from him and said: I wanted Mr Gilbert to be humiliated”.
However, Mr Gilbert claimed he was owed the money and is said to have sued his employer for the distress and humiliation caused.
Mr Cremer, 46, who runs a flooring business in Witham, Essex, said he was advised by lawyers to settle out of court.
He said: “I am very disappointed. I am very dissatisfied with the legal system.
“My legal team advised it would be cheaper to settle than go to court – which could have cost £20,000, that is money I don’t have.”
Mr Cremer, and the three employees were arrested and accused of false imprisonment following the incident in September 2008, however, the charges were later dropped.
Mr Cremer marched Mr Gilbert through Witham with the cardboard sign dangling from his neck saying: “THIEF. I stole £845 am on my way to police station.”
But Mr Gilbert, 40, told a newspaper that he had been owed wages. Mr Cremer denied his claim.