A pensioner made a false and malicious report to police that his neighbour called him "gay boy" during a long-running dispute.
Trevor Ford and the couple next door had become embroiled in a feud and it came to a head with Ford lying to police.
After Ford claimed Barry Knight said "I'm watching you gay boy", Mr Knight was arrested and quizzed by police but was able to prove his innocence as he has CCTV with audio.
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The victim, who was on oxygen at the time and has since died, said at the time he was horrified at the accusation and "detests being labelled as homophobic".
Now Ford, 65, of Wharton Street, Newsham, Blyth, Northumberland, has been given a suspended prison sentence at Newcastle Crown Court after admitting sending a malicious communication.
The court heard it was on July 31 20 that Ford phoned Northumbria Police claiming Mr Knight had made the homophobic comment.
A PC went to speak to him and Ford gave a witness statement repeating the fake allegation, saying Mr Knight told him: "I'm watching you all the time, I'm watching you gay boy".
Mr Knight told the police he had been in the back garden painting the outside of the house and that Ford had been watching him.
He admitted saying "I'm watching you" and was able to back up his denial of using the homophobic comment with the footage.
Mr Knight said: "I would like to make it clear I've not made homophobic remarks.
"I detest being labelled as homophobic.
"I believe he did it to harass me and it left me feeling alarmed, shocked and angry."
The Knights had made previous complaints about Ford and his partner.
Ford was cautioned in April 2020 for using abusive language and coughing towards them and claiming to have covid.
The court heard his partner has previously admitted a public order offence for his behaviour towards Mr Knight's wife, Margaret.
Mrs Wright said in a victim impact statement: "Despite Trevor being arrested and this case coming to court, he has still been living next door to me and he still comes out when I'm outside.
"I still feel like a prisoner in my own home. This has been worse since Barry died.
"Even on the day of his funeral, Trevor was outside, making his presence felt.
"The manner in which he stares at people is more than just looking out of his window. He makes people feel uncomfortable.
"He stares at my visitors and stands close to the property listening to private conversations. I have no privacy from him.
"He has had every opportunity from the council and police to stop his behaviour but it's come to this point and is now at court.
"I've been robbed of years of peace and enjoyment and I'm now going through this without my husband."
Ford was sentenced to six months suspended for 12 month with rehabilitation and was made subject to a restraining order.
Richard Bloomfield, defending, said: "There's a history which goes both ways. Any neighbour dispute is a two way street.
"They have to learn to leave each other alone and get on with their lives. None of them are in the flush of youth and I've no doubt they've got better things to do."
The court heard Ford, who is the full-time carer for a man, regrets the dispute escalating.
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