An NHS Counter Fraud Service spokesman said they were pleased with Neil Taylor's decision to plead guilty to falsifying his CV.

" It illustrates the strength of the evidence gathered," the spokesman added. "Any case of fraud against the NHS means taxpayers' money is being swindled and this is completely unacceptable.

"Since 1998, the NHS Counter Fraud Service has saved the NHS a total of £675 million - enough to pay for five new hospitals."

The anti-fraud body said Taylor was appointed head of the Shrewsbury and Telford Hospitals NHS Trust in October 2003 after submitting a CV which claimed he had a Bachelor of Arts in Business Administration and Economics, was a graduate of the Institute of Personnel Management and had obtained a Postgraduate Diploma in Forensic Medicine, all from Nottingham University.

Suspicions were raised in April 2004 when an exercise was conducted at the Trust for executives to submit their certificates for examination .

Taylor initially stalled investigators, but eventually produced a document and the NHS Counter Fraud Service made enquiries with the University of Nottingham.

The Counter Fraud Service spokesman explained: "The university stated that Taylor had never studied there and that the certificate was not authentic.

"Taylor was informed and he immediately resigned.

"He later stated in interview that he had no other qualifications than 'one or two' A levels."

After emerging into bright sunshine outside the court complex, bespectacled Taylor spoke briefly with reporters before leaving with his solicitor.

"I am very pleased that the first charge against me was dropped. I never did anything up until the trust was merged in 2003," he claimed.

"I did something foolish around the end of 2003, but I did not do it for financial advantage - I did it because of the pressures I was under."

A charge of obtaining a pecuniary advantage by deception in relation to Taylor's appointment as head of the Royal Shrewsbury Hospital NHS Trust in 1999 was dismissed.

Ruling that the offences must be dealt with at crown court, chairman of the bench Tony Hignett said: "We have decided that our sentencing powers are not sufficient."