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.
Narkkeeran Arasan, 45, who pleaded guilty to one count of trafficking controlled drugs, admitted during the probe that he was facing financial stress and wanted to sell cannabis to get fast cash, The Straits Times reported. The Central Narcotics Bureau acted on information received and arrested Narkkeeran in Woodlands while he was a passenger in a Grab car on April 12, 2021.
Srinivasa Raju, 51, of Haskell, New Jersey, pleaded guilty by videoconference before US District Judge Michael A. Shipp to information charging him with conspiring to violate the federal anti-kickback statute. According to court documents, Raju had various responsibilities at the Morris County pharmacy, including coordinating prescription deliveries and soliciting business.
GENEVA (AP) — The head of the World Health Organization said Wednesday the agency is “concerned about the risk to life in China” amid the coronavirus’ explosive spread across the country and the lack of outbreak data from the Chinese government.
Lokesh S. Tantuwaya, 55, of San Diego, California, performed surgeries at a now-defunct hospital in Long Beach. He was sentenced by US District Judge Josephine L Staton, who also ordered him to forfeit his ill-gotten gains of $3.3 million, a Department of Justice statement noted.
Manish Shah, 53, has been found guilty of 25 sexual assaults against four women at his GP clinic in Romford, east London, the BBC reported. After the latest verdict, Shah is now convicted of 115 offences of sexual assault and assault by penetration against 28 women, aged between 15 and 34.
According to court documents and evidence presented at the trial on Wednesday, Atlanta-based Minal Patel, 44, owned LabSolutions LLC -- a lab enrolled with Medicare that performed sophisticated genetic tests.
