Wollongong students reported that their PE teacher was running a betting syndicate in class, a court has heard.
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Mount Pleasant man Phil Saunders, 48, is fighting charges of engaging in gambling with a minor, intimidation, two counts of indecent assault of a person under 16, and two counts of aggravated indecent assault of a person under his authority.
At a hearing at Wollongong Local Court on Friday, his colleague at Wollongong High School of the Performing Arts, Michaela Chaffey, gave evidence that two students approached her with concerns last year.
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Ms Chaffey said one student told her: "Mr Saunders wasn't teaching and $2 was being bet on soccer", while the other said: "Most of the lesson was on the betting syndicate and not on teaching".
She said one of the students said Saunders had a tally on the board, but the students did not specify whether he himself was involved in betting.
However, Ms Chaffey told the court that the girls said Saunders was taking money from the students.
She said Saunders spoke to her one day asking if a student had spoken to her about this, and after she told him she had advised the students to go to the deputy principal or principal, he replied: "Can't we have a little bit of fun with kids these days".
Another teacher, Edith MacDonald, gave evidence that a third student of Saunders told her that he watched races on his laptop during class, and Saunders' response to this student was: "I'm allowed to because it's my second job".
"Phil liked betting on things; that included soccer," Ms MacDonald said.
Ms MacDonald also told the court she saw "two unusual diagrams" on a classroom whiteboard, which contained students' names and numbers.
The court heard a 'P' on the whiteboard referred to Saunders.
Ms Chaffey also gave evidence that in February or March last year, Saunders told her that he had "just told Sally off" after she "dobbed on him" regarding an incident during a paddle boarding class.
This refers to another teacher at the school, Sally Johnston, whom Saunders stands accused of intimidating.
The hearing has extended beyond its original four days, which have seen protracted legal arguments.
The parties estimated another week was needed for the hearing regarding the gambling and intimidation charges, while the indecent assault charges - which were to be determined in a separate hearing - would take two weeks.
It is likely these will not take place until next year.
Saunders' defence lawyer Mark Higgins also sought to vary Saunders' bail conditions to allow specified students to attend his home and visit his stepson.
However, prosecutor Tim George objected and said the Crown needed to take instructions.
Magistrate Michael Ong adjourned the bail variation application to next week.
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