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.
The purpose of this hospital is to serve humanity; Sikhs are known for this, we are doing this for years. Soon you will see, this will not be just India’s but the world’s largest kidney dialysis hospital.
"It is with deep sorrow that Her Majesty The Queen has announced the death of her beloved husband, His Royal Highness The Prince Philip, Duke of Edinburgh," The Royal Family said on Twitter.
While the benefits of the vaccine still outweigh the risks, that assessment is “more finely balanced" among younger people who are less likely to become seriously ill with COVID-19
The two vaccines available since December — Pfizer and Moderna — were 90% effective after two doses, the Centers for Disease Control and Prevention reported Monday. In testing, the vaccines were about 95% effective in preventing COVID-19.
It is not clear, however, whether any of the passports under development will be accepted broadly around the world, and the result could be confusion among travellers and disappointment for the travel industry.
