He had picked up a bottle of weed killer before walking through the store's trolley barriers, which he took into the toilet with him, putting it in his pocket while he used the toilet.
Returning to the main part of the store, Mr Delegat decided he didn't need the weed killer and put it on a shelf alongside chocolates.
A staff member, observing his behaviour never saw him put the product on a shelf and notified his employer about a possible shoplifter in the store.
Mr Delegat paid for the bread and left the store.
New World Carterton is a customer of Linfox, the hearing was told.
On checking store security tapes, store owner Jeffrey Yates gave evidence saying he contacted Linfox after identifying a man in a Linfox high-visibility vest taking product into the toilet area with his hands empty on leaving the toilet. He said signs warned customers not to take items into the toilet.
Mr Delegat's lawyer, Jills Angus Burney, produced photographs showing the sign was not visible if the door was open on entering.
Mr Yates said he later discovered on the tape that Mr Delegat had put the product back and police were not going to prosecute him as he hadn't stolen anything.
Mr Delegat's manager Tony Ross said before this incident they had no reason to doubt his integrity but his statements regarding the incident were "inaccurate" and not factual.
Viewing the security tapes, Mr Ross said they came to the conclusion Mr Delegat had intended to steal the weed killer but had noticed a store worker watching him so ditched it.
"There were changes in his story ... too many inconsistencies."
Mr Ross said he believed Mr Delegat wasn't as ill as he said, when asked if he believed Mr Delegat shouldn't have been at New World that day.
Evidence was provided showing Mr Delegat had 400 unused sick leave hours accrued at the time.
"He should have stayed at his mother's or gone home to recover ... that was taken into consideration."
Mr Wood asked Mr Ross why Mr Delegat wasn't given the benefit of the doubt over a serious allegation of theft.
Mr Ross said it was clear he had the intention to steal.
"He was inconsistent with a lot of his answers that did not line up with what we observed on the footage and his actions walking around the store. He was looking around ... looking sideways for a place to ditch it."
Mr Wood said there was no way for them to know what was going in Mr Delegat's mind.
Mr Delegat's partner Maria Coulston said he had taken the loss of his job hard.
"He is bewildered. He couldn't make head or tail of it. His sleep was zero."
Mr Wood adjourned the hearing until January 24 in Wellington where Mr Delegat will give evidence.