A father falsely branded a paedophile in a series of anonymous leaflets allegedly distributed by a businessman who wanted to buy his fish farm told a court how he spent sleepless nights trying to protect his family.

Sid Boulter bought the property after gun-dog breeder Robert Walker had his bid turned down when the vendors became frustrated by his tactics, Newcastle Crown Court has heard.

Walker, 50, of New Ivesley Farm, near Esh Winning, County Durham, is accused of harrassing Mr Boulter and his wife Margaret.

He is also accused of illegally possessing explosives after a pipebomb was allegedly found on his property in September 2000.

Mr Boulter bought Oakbank Fisheries, a 56-acre property near Longtown, Cumbria, with a view to running it as a site for anglers, with caravans next to three large ponds.

After he acquired the fishery, a series of intimidating events occurred, the court heard.

His 12-year-old son Dani was sent rat poison through the post and a series of anonymous leaflets were distributed locally, branding Mr Boulter a paedophile.

A note was also left on top of a petrol can urging the family to leave ''while you still can''.

Road signs were daubed with the letters SOS, which Mr Boulter thought meant ''Sod Off Sid'', although he later found out it was intended to mean ''Save our Schoolkids'', he told the jury.

The businessman, who had recently moved to the area from Penrith, Cumbria, said today the false claims came at a time when public feeling about paedophiles was particularly high.

''I felt vulnerable - it was not something I was used to,'' he said yesterday. ''I was being dragged into this.

''It was an area I was not particularly familiar with and this would have been their first impression of us.''

He spent sleepless nights prowling the site if he heard noises outside, he told the court.

''I had a big house in Penrith and I had moved to a site of nearly 60 acres in open farmland and it was impossible to secure,'' he said.

''We were in a caravan and if anyone wanted to set fire to it, they could have slipped something underneath.''

Walker denies one count of harassment against Mr Boulter and a separate count against his wife between April and September 2000. He also denied illegally possessing explosives in September 2000. The trial continues.