A Chinese restaurant waiter slashed his boss 19 times with a knife and cut his throat three times in a dispute over tips not being included in his holiday pay, a jury was told.

Kang Ching Mo was found dead, with his body covered with food waste, outside his restaurant by his wife after she became worried when he failed to return home and started searching for him, Stafford Crown Court heard.

The prosecution alleges Mr Mo was murdered by Mai Ling Fong after an argument over his holiday pay.

Fong (21), of Hempstalls Lane, Newcastle-under-Lyme, Staffordshire, denies the murder of Mr Mo on March 28 last year. He was found dead out-side the Arches Chinese Restaurant he owned in Brunswick Street, Newcastle-under-Lyme, which he opened in the mid 1980s.

Julia Macur QC, prosecuting, said both men had taken English names and Fong was known as William and Mr Mo as Roy.

"An argument occurred in February and appeared to centre on the fact that holiday pay given to Mr Fong did not include tips," she said.

"Before his death Fong was seen having an argument with Mr Mo. It does not seem that the matter had been settled between them."

Miss Macur said that on the night of his death, Mr Mo and his wife went to the restaurant and she left about 1am. She went home and was worried that her husband had not followed her.

An hour later she tried to contact him on his mobile and restaurant phone but to no avail. She was concerned and together with her nephew and another man she drove to the restaurant.

"They saw his car where he had parked it and when they got out of their car and went towards the restaurant they saw Mr Mo lying on the floor covered in food waste. The police and an ambulance were called but Mr Mo was dead," said Miss Macur.

"His throat had been cut three times, his face slashed 12 times and there were four injuries to his trunk and chest. The final cause of death was likely to have been the dissection of his larynx caused by slashes to his throat which affected his breathing.

"There were further slashes which severed his carotid artery and jugular vein which would have caused loss of blood to his brain. His heart and lung had also been penetrated with a knife.

"Fong was arrested and questioned and said he had stabbed Mr Mo in the chest and said perhaps he did not want to remember anything more. Later, he retracted that confession. He said he felt under pressure but had nothing to do with the death of Mr Mo."

The trial continues.