A whistleblower’s claims that a Higham private school headteacher abused his expenses, have not been upheld after a probe by a government watchdog.

Gad’s Hill head David Craggs was being investigated by the Charity Commission over claims he made more than 20 purchases on school bank cards which governors may not have approved.

The government body, which oversees the £10,000-a-year school in Gad’s Hill Place where Charles Dickens once lived, began its probe in July over claims made by former chairman of governors John Melville.

In its operational compliance report published today (November 28), the commission said its investigators "raised concerns that receipts, in particular for hospitality and travel, contained both personal and school expenditure that would be difficult and onerous to verify."

But the report continued: "The governors appear satisfied that expense claims have not been abused.

"Policies for expense claims have now been introduced and procedures changed to enhance transparency."

A 2012 internal school report revealed by Mr Melville when he spoke out in July, showed Mr Craggs was being paid £35,130 a year when he took up his post in 2000, but by 2011 this had nearly quadrupled to £168,985.

Mr Craggs’ contract required an annual review to determine his salary, but instead he had been proposing his own annual pay increase in the school budget, which had to be approved by the board of governors.

The Charity Commission said the board "put too much reliance" on the finance committee when approving Mr Craggs’ salary.

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Gad's Hill School.

Today’s report added: "no salary benchmarking exercise had been undertaken and the governors accepted responsibility for not having had good oversight of the headteacher’s salary for many years."

The chairman of the committee during this period, whom Gad’s Hill declined to name, subsequently resigned.

The school has also refused to reveal by how much Mr Craggs’ pay was cut after Mr Melville made a ‘serious incident report’ to the Charity Commission concerning the headteacher’s wage packet in February 2013.

The commission was "satisfied with [the school’s] response" to that referral, which reduced Mr Craggs’ salary to the level of "other similar education institutions."

But it began its most recent probe in July this year when it emerged governors had not informed the watchdog about the allegations concerning expenses.

Today’s report said: "The original serious incident report was misleading in that it failed to identify concerns raised about the headteacher’s personal expenses claims."

In a statement Mr Craggs said: "I am pleased the matter has been resolved and that the correct conclusion was reached – it has always been my belief throughout this enquiry that this would be the case.

"I would like to express my sincere appreciation to parents, staff and governors at Gad’s Hill School for their support and confidence.

"I would especially like to thank my family for their unwavering strength during a time which has been traumatic for us all.

"I look forward to continuing to work hard and to provide our pupils with a first class education."

Are you John Meville? Call 01689 885702 or e-mail tim.macfarlan@london.newsquest.co.uk