Indian-origin businessman jailed for loan fraud in UK
Darpan News Desk IANS, 16 Feb, 2023 02:41 PM
London, Feb 16 (IANS) An Indian-origin businessman has been sentenced to 12 months imprisonment in the UK for having abused an interest free loan scheme provided to businesses impacted by the Covid-19 pandemic.
Kulwinder Singh Sidhu, 58, from Stanwell, pleaded guilty to offences under the Companies Act and the Fraud Act, having abused the Bounce Back Loan financial support scheme in 2020.
He was director of Wavylane Ltd, a haulage company based in Stanwell, and which had been trading since 2010. "Our action has ensured repayment of the loan money and taxpayers have not been left out of pocket," Julie Barnes, Chief Investigator at the Insolvency Service, said.
"Any other company directors who might be tempted into dissolving their business to try to keep public money they are not entitled to, should be aware they are risking a lengthy prison term," she added.
On 9 June, 2020 Sidhu applied for a 50,000 pound Bounce Back Loan from his bank on behalf of his business. Under the Bounce Back Loan scheme, genuine businesses impacted by the pandemic could take out interest-free taxpayer-backed loans of up to a maximum of 50,000 pound.
The loan was paid into the company bank account and on June 26, 2020 Sidhu filed paperwork with Companies House to have the business dissolved, having transferred the funds to his personal bank account within two days of receipt.
The striking-off application to dissolve the company was explicit that interested parties and creditors, such as a bank with an outstanding loan, must be notified within seven days of making an application to dissolve a company. The form also highlighted that failure to notify interested parties is a criminal offence, however Sidhu did not follow these rules.
The company was dissolved in October 2020, and was subsequently identified as likely Bounce Back Loan fraud by the Insolvency Service and cross-government counter-fraud systems.
The Insolvency Service investigation found that Sidhu had fraudulently overstated the company turnover in the Bounce Back Loan application, and within two days of receiving the money he had transferred it to his personal account before dispersing the funds to his son and another company.
He pleaded guilty to charges in December last year, and was sentenced on February 13, this year at Guildford Crown Court.
The court imposed a confiscation order for 50,000 pound, which Sidhu has paid in full. In addition to the custodial sentence, he was also disqualified as a company director for six years.
Ishan Wahi, 32, a former product manager at Coinbase Global, stayed in Seattle, Washington, along with his brother Nikhil Wahi, 26. They committed the cryptocurrency crime with Indian-American Sameer Ramani, 33, of Houston, the US Department of Justice said in a statement late on Thursday.
The White House said Biden will work from self-isolation over phone and on Zoom till he tests negative, which could take seven to eight days. Jill Biden, the First Lady, has tested negative. She told reporters that she spoke with her husband in the morning and he is feeling fine. For herself, she said she intends to stay with her schedule.
African officials say they are already treating the continent's epidemic as an emergency. But experts elsewhere say the mild version of monkeypox in Europe, North America and beyond makes an emergency declaration unnecessary even if the virus can't be stopped. British officials recently downgraded their assessment of the disease, given its lack of severity.
Monkeypox infection is not showing signs of slowing down and is on track to hit 100,000 cases by August as per an earlier forecast, top US epidemiologist and health economist Eric Feigl-Ding warned. About 60 countries have to date reportedly confirmed more than 11,500 cases of the viral disease.
She was found unconscious near a staircase in the home, the people said. The people could not discuss the matter publicly and spoke to the AP on condition of anonymity. The medical examiner’s office will determine an official cause of death.
Penny Mordaunt, a former Defence Secretary, came second with 67 votes. Third was Liz Truss, Foreign Secretary, securing 50 votes. Attorney General Suella Fernandes Braverman, who is of Goan Indian descent, scraped through with 32 votes.
