Staff at a £50 million project created to revive one of the poorest parts of East Brighton preferred to hold meetings in trendy North Laine cafs, an employment tribunal heard.

Robin Lucas, who was fired from her £18-an-hour job as an information and communication technology (ICT) co-ordinator at East Brighton For You (eb4u), told the tribunal yesterday she was sacked after voicing concerns about several aspects of the project.

She said taxpayers' money was used to:

Rent a trendy North Laine office.

Buy equipment which was kept "on permanent loan" at the project leader's home.

Pay a data programmer £30 an hour - even though his hourly rate was meant to be invoiced at £20.

Mrs Lucas said she had never received a contract for her freelance work, despite being promised one.

She also alleged project leader Jill Mercer broke down in tears while admitting she had "grossly overspent" on the budget for the internet project.

The tribunal in Brighton heard how the Great Eastern pub in Trafalgar Street was commonly known as the office of one worker at the world web wise project (WWW) - which was meant to provide computer training to communities in Moulsecoomb and Whitehawk.

Mrs Lucas said she was particularly concerned about the company setting up an office in Jew Street, in the heart of Brighton's new media centre and outside its East Brighton boundary.

She said the Jew Street office seemed to be used exclusively by Darren Dowling, a web designer for WWW.

Reading from a pre-written statement at the tribunal, she said: "I was extremely unhappy with ICT paying for this office. According to the contract brief, it was me who was supposed to be managing the ICT budget.

"If I had been managing the budget I would not have sanctioned the use of this office, as it was not only contrary to the community regeneration ethos of eb4u but it was being used by Darren Dowling for his private and WWW use.

"I considered it was a potentially unlawful use of funds and misappropriated. It wasn't being used in line with the eb4u ethos."

Mrs Lucas, of Rugby Place, Brighton, started work at eb4u in February 2002, working from its office at The Bridge, Moulsecoomb.

She was hired for a maximum of 18 months, with her responsibilities including organising a database of ICT providers in Brighton and an ICT forum for East Brighton residents and training people in computer use.

The office in Jew Street was rented for the ICT project between March and November last year, the tribunal heard.

Mrs Lucas claimed she was sacked on July 31, 2003, after voicing concerns about spending from the ICT co-ordinator budget.

She said: "I was not made aware of any complaints about me while employed as eb4u's ICT coordinator. I faithfully worked towards the aims and objectives of regeneration within East Brighton."

Mrs Lucas said Bernard Weyman, the database programmer, would not use The Bridge office, preferring to meet in a pub in central Brighton.

She told the tribunal: "He attended The Bridge once a month for team meetings only. The Great Eastern pub was commonly known as Bernard's office and on several occasions I agreed to meet both him and the web designer there.

"I was not happy with this and other working practices of the world web wise team, such as meetings in trendy town centre cafs rather than where we were supposed to be based.

"The Bridge is a large centre and there was much space in which to have meetings."

She said the project bid stated Mr Weyman was supposed to charge £20 per hour for his work but she noticed from invoices he submitted he was charging £30 per hour.

Mrs Lucas was told she must stay within the ICT budget, yet the control of that budget lay in the hands of Ms Mercer.

She said in one conversation about Jew Street, Ms Mercer became "introverted and tearful", telling her she had grossly overspent on the WWW budget.

During this conversation, Ms Mercer "immediately" offered Mrs Lucas work space in Jew Street.

Mrs Lucas said: "I refused, saying I did not think it appropriate."

She said Mr Dowling told her Ms Mercer kept a £2,000 WWW projector at her home on permanent loan for film shows.

Vikram Sachdeva, for the Chichester Diocesan Housing Association (CDHA), said Mrs Lucas had taken the job on the understanding it was for a maximum of 18 months.

He said no minimum time had been specified.

The ICT project is funded by the eb4u agency, which is being given £48.2 million of Government cash over ten years, and is run by the CDHA.

The tribunal continues on March 12.