Andrew Mountbatten Windsor seemingly claimed personal expenses on taxpayer money.
The former Duke of York, who previously served in the Royal Navy, asked for massage reimbursements after triggering from Middle East.
The ex-Trade and Investment Department official told the BBC: “I thought it was wrong… I’d said we mustn’t pay it, but we ended up paying it anyway.
“I can’t say it would have stopped him, but we should have flagged that something was wrong,”
The source also noted expenses for “Air Miles” for Andrew’s overseas trips.
They told the broadcaster: “I couldn’t believe it… it was like it wasn’t real money, they weren’t spending any of their own money.”
The former Duke of York, who is living in exile at Sandringham, was left to support Jeffrey Epstein in his sex trafficking under the nose of all Senior Royals.
Royal expert Kevin Maguire tells Mirror: “What did Charles, William and the hitherto respected Elizabeth II know about Andrew Mountbatten-Windsor’s alleged sexploits, money-making, trading reports and dubious pals?”
He added: “Everybody else long ago concluded that the eighth in line to the throne was a bad ’un, yet a privileged family continued housing and financing their son, brother and uncle. The current King and old Queen even loaned him £12million to keep him out of a US court.”