Tag: Insolvency Service

The press release issued by the Insolvency Service on 9 October 2025.

• Haralambos Ioannou fraudulently applied for two separate Bounce Back Loans worth a total of £100,000 for Opti-Bond (GB) Ltd 
• He spent large amounts of one loan on gambling, crypto investments, cash withdrawals and payments to his then wife  
• The 49-year-old received a suspended sentence of 22-months in custody with 150 hours of unpaid work to be completed

The boss of a glazing firm who fraudulently applied for two Covid Bounce Back loans and spent significant sums on gambling and crypto investments has received a sentence of 22 months in custody, suspended for two years. 

Just months into the pandemic, Haralombos Ioannou secured two maximum-value £50,000 Bounce Back Loans when businesses were only allowed one.   

The 49-year-old used the first loan legitimately for his glass-fitting company, Opti-Bond (GB) Ltd.  

However, money from the second loan was used for personal purposes, breaking the rules of the scheme. 

Ioannou, of Cow Lane, Edlesborough, Buckinghamshire, but previously of South London, was given a 22-month suspended sentence at Southwark Crown Court on Tuesday 7 October. 

Ioannou was also disqualified as a company director for five years and ordered to pay £40,000 in compensation as well as complete 150 hours of unpaid work.

David Snasdell, Chief Investigator at the Insolvency Service, said:

Haralambos Ioannou exploited the Bounce Back Loan Scheme by fraudulently applying for a second Bounce Back Loan when companies could apply for one loan of up to £50,000 for support during the Covid-19 pandemic. 

He not only fraudulently applied for a second loan but then spent it on activities which had nothing to do with his company’s operations such as gambling, crypto-investments, cash withdrawals and payments to his then partner. 

The Insolvency Service remains committed to taking robust action against those who abused the Bounce Back Loan Scheme. Government-backed schemes were a lifeline for businesses during the pandemic, and we will continue to pursue those who deliberately  exploited this support at the taxpayers’ expense.

Ioannou was the sole director of Opti-Bond (GB) Ltd, which was set up in October 2019. 

The 49-year-old submitted an application for a first loan of £50,000 in May 2020, stating his company’s 2019 turnover was £216,000. 

He then submitted an application for a second loan of £50,000, but this time declared Opti-Bond’s turnover in 2019 was £236,000. 

Ioannou received the £100,000 within an eight-day period between late June and early July 2020. 

After receiving the second loan, Ioannou made 38 transactions totalling almost £20,000 to his personal account. 

In the same period, around £25,000 of payments were made to gambling companies from this personal account. 

Aside from gambling, approximately £8,000 of the second loan was transferred to investment and crypto-investment companies. 

Almost £6,000 of the loan was withdrawn from ATM machines, whilst a further £16,000 of this loan was also transferred to an account in the name of Ioannou’s now ex-wife. 

Opti-Bond (GB) Ltd entered liquidation in November 2021 but Ioannou failed to inform the liquidator of the company’s first Bounce Back Loan as he was legally required to do.

Further information

• Haralambos Ioannou is of Cow Lane, Edlesborough. His date of birth is 21 June 1976. 
• Opti-Bond (GB) Ltd (company number 08716051) 

The press release issued by the Insolvency Service on 18 August 2025.

Companies wound-up by the High Court following Insolvency Service investigations.

• EDC Group NE Ltd, UK EDC Ltd and UK TCF Limited have been shut down by the High Court after keeping more than £50,000 in funds they collected on behalf of clients
• The three companies falsely claimed decades of experience despite being recently established, and used fake testimonials and misleading websites to deceive small businesses into paying upfront fees
• Clients paid fees of hundreds of pounds but received no service, with the companies becoming uncontactable while bank records showed payments were made to the director, bookmakers and football clubs

Three connected debt collection companies which kept more than £50,000 in client funds they collected on their behalf have been shut down.

Sunderland-based EDC Group NE Ltd, UK EDC Ltd and UK TCF Limited falsely presented themselves as professional agencies with decades of experience while taking money from both clients and their debtors.

The companies targeted small businesses through unsolicited phone calls, using misleading information to convince them to sign contracts for debt collection services.

Victims reported paying instruction fees and then being unable to contact the companies, despite assurances that collected funds would be safeguarded.

At least £54,847 in funds was collected and retained by the companies without being passed back to their clients.

The three companies were all wound-up at the High Court in Manchester on Friday 15 August.

David Hope, Chief Investigator at the Insolvency Service, said:

These companies systematically deceived their clients by presenting themselves as professional debt collection agencies when they were nothing more than operations designed to take money from clients.

The victims trusted these companies to collect debts on their behalf but instead found themselves unable to contact anyone after paying upfront fees, while money that was collected was kept by the companies.

We will continue to take robust action against those who prey on both creditors seeking legitimate debt recovery services and debtors who believe they are making payments to settle their obligations.

All three companies falsely claimed to have “been collecting unpaid debts, resolving disputes and carrying out investigations and research for more than 25 years.”

EDC Group NE Ltd was only set up in March 2022, with UK EDC Ltd incorporated in August 2023, and UK TCF Limited in December 2023.

The companies operated using nearly identical websites, with UK EDC and UK TCF sharing the same website.

False claims on the websites included descriptions of the companies as “market leaders” with “cutting edge collection activity technology” and 65 positive testimonials which presented an inaccurate picture of the companies as having a successful track record in debt recovery.

Insolvency Service investigations revealed sophisticated deceptive tactics, with the companies operating interchangeably to maximise their improper conduct.

One victim paid £750 to UK EDC Ltd for collection of a debt of more than £20,000 but when the debtor made a payment of £12,143 it was collected by the connected company UK TCF Limited operating as ‘The Creditor’s Friend’. The victim was never informed of this collection and never received any of the money recovered on his behalf.

In another example, a woman who paid £600 to recover £15,000 in debts described how EDC Group NE Ltd claimed to have quickly found the debtors’ addresses and new business locations, even boasting of posing as a tax officer to obtain information.

She said: “They gained my trust and gave me false hope. I see now that this was all a confidence trick to gain my trust and impress me so that I would willingly part with my money.”

Complaints to Action Fraud saw one business owner report that the companies had taken payments estimated at £30,000 – £50,000 from his clients alone.

Other victims reported paying instruction fees ranging from £350 to £750 before the companies became completely uncontactable, with phone lines permanently engaged and no voicemail facilities.

Analysis of EDC Group NE Ltd’s bank account revealed that of the £347,837 in total payments out, almost £160,000 went directly to the director, with an additional £78,071 paid to various individuals as salary, gifts and commissions.

Investigators also found payments of more than £17,000 to various bookmakers, £9,679 to football clubs, and £21,362 to hostelries, hotels, restaurants and supermarkets.

No payments to clients for debts collected on their behalf were found.

Bank accounts for the other two companies showed similar patterns, including unexplained payments to EDC Group NE Ltd.

All three companies failed to provide any accounting or financial records to the Insolvency Service. The registered company director failed to co-operate throughout the investigation, ignoring all attempts by investigators to locate and communicate with the companies and those in control of them.

The failure to provide financial records also prevented investigators from establishing whether the companies operated independently or used phoenix practices – repeatedly closing and reopening under new names to evade responsibility and confuse clients.

The Official Receiver has been appointed as liquidator of EDC Group NE Ltd, UK EDC Ltd and UK TCF Limited.

The press release issued by the Insolvency Service on 12 August 2025.

The company entered administration owing more than £3 million.

• David Smith submitted false VAT returns on behalf of long-established Scottish machinery firm Balgownie Limited across a three-year period
• In total, more than £1.5 million was undeclared to HM Revenue and Customs (HMRC) between 2019 and 2022
• Smith has been banned as a director for 11 years and the company was bought out of administration by another firm last year, with 15 jobs saved

The director of a century-old Scottish machinery firm which went into administration last year has been banned after failing to declare more than £1.5 million in VAT.

David Smith, 61, was the director of FB Realisations Limited, which was known for decades as Balgownie Limited.

However, for more than three years between 2019 and 2022, Smith submitted false VAT returns on behalf of the company in his role as finance director without the knowledge of his fellow directors.

Smith, of Kirkton of Bourtie, Inverurie, Aberdeenshire, has been disqualified as a company director for 11 years following investigations by the Insolvency Service.

Mike Smith, Chief Investigator at the Insolvency Service, said:

David Smith’s conduct falls well below the standards we expect of company directors.

Smith’s misconduct was hidden from his other directors and only came to light when a consultant queried finances at a board meeting and he admitted that he had been manipulating the accounts for several years.

By deliberately suppressing VAT payments, Smith deprived the public purse of vital funds that should have gone towards essential public services such as schools and the NHS.

Balgownie Limited was set up on Companies House in 1973 but had a trading history dating back to 1907.

The undeclared VAT totalling £1,575,584 consisted of:

• Falsely claiming VAT refunds on expenses that were actually for private or personal use rather than legitimate business purposes in the quarter ending December 2018
• Deliberately understating the amount of tax due on sales made between March 2019 and March 2022, across multiple quarterly returns
• Falsely claiming refunds by backdating purchases to earlier tax periods without having valid invoices or evidence to support these claims

Smith signed a disclosure with HMRC in March 2023 where he admitted deliberately under-declaring the amount of VAT his company should have paid.

Balgownie Limited went into administration in March 2024, with 24 people losing their jobs and creditors owed £3,163,795.

However, 15 jobs were saved when the business and its assets were bought out of administration by another company the following month.

The Secretary of State for Business and Trade accepted a disqualification undertaking from Smith, and his ban started on Monday 21 July.

It prevents him from being involved in the promotion, formation or management of a company, without the permission of the court.

Smith was declared bankrupt in August 2024 following a petition from one of the company’s creditors.

Further information

• David Smith is of Kirkton of Bourtie, Inverurie, Aberdeenshire. His date of birth is 17 May 1964
• FB Realisations Limited (company number SC053574)

The press release issued by the Insolvency Service on 5 August 2025.

The director sold at least £1.5 million of company assets in total.

• Kulbarg Singh has been banned as a director after selling £1.5 million worth of assets for under £500,000 to another company which he also controlled
• The sales in 2021 included seven historic cars – including three Rolls Royces
• Singh’s disqualification means he cannot direct any company until 2031

A Staffordshire businessman who sold seven historic cars including two Jaguars and three Rolls-Royces for just £1 to another company he also controlled has been banned as a director.

Kulbarg Singh, 62, was the director of Aldridge Construction Engineering Ltd when he entered into an asset purchase agreement with Ace Earth Solutions Ltd in 2021.

At least £1.5 million of company assets were sold, with Aldridge Construction Engineering Ltd entering liquidation the following year.

Among the under-priced sales were two Daimlers from 1936 and 1965; Jaguars from 1969 and 1978; and three Rolls Royces from the 1970s.

Combined, the seven cars had a value of £101,500 but Singh sold them to Ace Earth Solutions Ltd for just £1.

Singh, of Haselour Lane, Harlaston, Tamworth, has been disqualified as a director for six years following Insolvency Service investigations.

Kevin Read, Chief Investigator at the Insolvency Service, said:

Kulbarg Singh deliberately sold assets worth £1.5 million for much less than they were worth, putting the money out of the reach of creditors.

Directors who abuse their position will face serious consequences. Selling historic cars worth over £100,000 for just £1 shows the extent of Singh’s misconduct.

Singh’s six-year disqualification sends a clear message that we will pursue those who breach their responsibilities as a director.

Aldridge Construction Engineering Ltd was set up in November 2015. Singh said the company was involved in the resurfacing of roads and later installing gas pipes.

In April 2021, Singh sold company assets worth at least £1.5 million for just more than £465,000 to Ace Earth Solutions Ltd, a company he was director of between February 2020 and April 2022.

The sale resulted in Aldridge Construction Engineering Ltd losing more than £1 million, leaving it insolvent.

By the time the company went into liquidation in June 2022, it had no assets and total liabilities to HM Revenue and Customs and other companies of more than £1.5 million.

The Official Receiver, as liquidator of Aldridge Construction Engineering Ltd, is currently exploring options to pursue recovery action to return money to creditors who lost out as a result of the sales.

The Secretary of State for Business and Trade accepted a disqualification undertaking from Singh, and his ban started on Thursday 24 July.

It prevents him from being involved in the promotion, formation or management of a company, without the permission of the court.

Further information

• Kulbarg Singh is of Haselour Lane, Harlaston, Tamworth, Staffordshire. His date of birth is 13 July 1963

The press release issued by the Insolvency Service on 23 July 2025.

Athlete sentenced for Bounce Back Loan fraud.

• British Masters athlete Rick Beardsell obtained two maximum-value Bounce Back Loans for his sportswear manufacturing business and used most of the funds to help buy a £1.3 million home in a Cheshire village
• Money spent on purchasing the five-bedroom house should have been used to benefit his Sports Creative Limited business
• Beardsell also broke the rules of the scheme by substantially inflating his company’s turnover and securing two loans when businesses should only have received one
• The 46-year-old has now repaid the £100,000 he fraudulently applied for in full

A world sprint champion has been sentenced after he spent Covid loan funds to help buy a £1.3 million house.

Rick Beardsell secured two £50,000 Bounce Back Loans for his Sports Creative Limited company in 2020 and 2021 when businesses were only allowed a single loan.

The 46-year-old then moved the Bounce Back Loan funds into his personal bank account, using part of the money to help buy a five-bedroom property on Macclesfield Road in Prestbury, while also transferring cash to family members and making mortgage payments.

Beardsell, who has won multiple sprint titles and holds world records representing Great Britain as a masters athlete, was sentenced to 18 months in prison, suspended for two years, when he appeared at Chester Crown Court on Tuesday 22 July.

He was also ordered to complete 250 hours of unpaid work and pay costs of £11,152.

Beardsell repaid the £100,000 in full earlier this year after his guilty plea but before sentencing.

David Snasdell, Chief Investigator at the Insolvency Service, said:

Rick Beardsell exploited a Covid support scheme designed for struggling businesses, fraudulently obtaining loans he was not entitled to.

While legitimate business owners fought to stay afloat during the pandemic, Beardsell bought a £1.3 million home with the help of money that should have been supporting his company through difficult times.

This case sends a clear message that we will not tolerate those who viewed government support schemes as an opportunity for personal enrichment during a national emergency.

Sports Creative Limited was set up in January 2009 with Beardsell as its sole director. The company described itself on social media as “a bespoke sportswear manufacturer”.

Beardsell applied to the bank for his first £50,000 Bounce Back Loan just before Christmas 2020.

In the application, he claimed that Sports Creative Limited had a turnover of £485,000.

Just two weeks later, in early January 2021, Beardsell applied to a second bank for another £50,000 Bounce Back Loan, this time stating that his company had an estimated turnover of £320,000.

Insolvency Service analysis of Sports Creative Limited’s bank account revealed that its turnover was just over £90,000, meaning he exaggerated his company’s revenue on both occasions.

Beardsell claimed that he had received a purchase order of $600,000 (approximately £440,000) for personal protective equipment during the pandemic which ultimately failed to materialise.

Even if this were the case, businesses were required to provide their turnover for 2019, prior to the start of Covid.

Investigations also found Beardsell transferred £83,900 of the £100,000 loan money to his personal bank account in three separate transactions at the start of March 2021.

A total of £431,160 from that account was paid to solicitors for the purchase of a house on Macclesfield Road in September 2021.

Beardsell also made fraudulent transfers of £5,000 to his wife, £10,000 to another family member, and two mortgage payments for his previous house in Manchester which put the funds beyond the reach of creditors.

In a prepared statement, Beardsell claimed that he had sought “professional advice” that Bounce Back Loan funds could be used for “any purpose” that resulted in a direct benefit to the company. He added that he was advised that this could include investments in company assets or property.

Beardsell also said that HMRC told him that he was eligible to receive the funds from the second loan, advice which would not have been given had he been honest about his successful application for an earlier Bounce Back Loan.

Sports Creative Limited entered liquidation in December 2021.

Further information

• Rick Beardsell is of Macclesfield Road, Prestbury, Cheshire. His date of birth is 19 January 1979

The press release issued by the Insolvency Service on 18 July 2025.

Composer sentenced for Bounce Back Loan abuse following Insolvency Service investigations.

• Video game composer Peter Connelly has been jailed after fraudulently obtaining a second Covid Bounce Back Loan for his company
• Connelly, known for his work on Tomb Raider, inflated his company’s turnover during the first few months of the pandemic in 2020
• Insolvency Service investigations have also resulted in the 52-year-old being banned as a company director for six years

A video game composer and sound designer who fraudulently applied for a Covid loan has been jailed.

Durham-based Peter Connelly, best known for his work on the Tomb Raider series, overstated his company’s turnover to obtain a second Bounce Back Loan of £37,500 in 2020 when businesses were only entitled to a single loan.

Connelly had previously secured a legitimate Bounce Back Loan worth £22,000 one month earlier.

The 52-year-old, of Lambton Court, Peterlee, was jailed for 16 months at a hearing of Durham Crown Court on Thursday 17 July.

He was also disqualified as a company director for six years.

David Snasdell, Chief Investigator at the Insolvency Service, said:

Peter Connelly blatantly disregarded the rules of the Bounce Back Loan Scheme, designed to support small and medium-sized businesses during the pandemic.

Connelly not only secured two loans when businesses were only allowed one, but deliberately inflated his company’s turnover to receive more money than he was entitled to.

The Insolvency Service is the lead agency for tackling Bounce Back Loan misconduct and we remain committed to ensuring fraudsters who stole from the public purse during a national emergency are brought to justice.

Connelly was the sole director of Peter Connelly Limited, established in June 2008.

The company was known as Universal Sound Design Limited up until November 2012, and it described its trading as “sound recording and music publishing activities”.

Connelly’s first application for a Bounce Back Loan was in May 2020, when he secured £22,000. This application was within the rules of the scheme.

However, one month later in June 2020, Connelly applied to a different bank for a Bounce Back Loan of £37,500, claiming his company’s turnover for 2019 was £150,000.

Insolvency Service analysis revealed his turnover was just over £58,000, meaning he substantially inflated it on his second application.

Connelly also falsely declared that this was the only loan he had applied for.

In interviews, Connelly told the Insolvency Service that he had been given the opportunity to re-imagine the music for the Tomb Raider soundtrack. This was a significant project which had the potential to be very lucrative, he added.

To complete the project, Connelly said he had taken out personal loans and sold his car.

However, Connelly said everything stalled at the start of the pandemic.

Peter Connelly Limited went into liquidation in August 2021. Neither loan had been repaid at this time.

Connelly himself entered into an Individual Voluntary Arrangement (IVA) in June 2022, a legally binding agreement where he has committed to making regular payments to an insolvency practitioner to repay his debts.

The IVA remains active.

Further information

• Peter Connelly is of Lambton Court, Peterlee, County Durham His date of birth is 8 September 1972

The press release issued by the Insolvency Service on 16 July 2025.

New five-year strategy commits agency to prominent role in fight against economic crime.

• The Insolvency Service’s new investigation and enforcement strategy will see the agency play a leading role in tackling economic crime and improving corporate standards
• Over the next five years, the agency will prosecute a wider range of offences, increase enforcement against companies acting against the public interest, and recover proceeds of crime
• The Insolvency Service will play a leading role helping the UK remain a safe and fair place to do business for all

The Insolvency Service has announced ambitious and transformational plans to play a more prominent role in the fight against economic crime and be recognised as the UK’s leading authority in enforcing corporate and insolvency standards.

Published today (Wednesday 16 July), the strategy commits the agency to broadening its remit, taking robust action against criminals who defraud businesses and taxpayers, and using artificial intelligence and advanced analytics to combat sophisticated financial wrongdoing.

The agency will also step up efforts to tackle money laundering through hiring experts in cryptoassets seizing more criminal proceeds of crime, and continuing to expand its intelligence functions. These teams were crucial in recent progress tackling networks of overseas criminals using shell companies registered in the UK.

Specialist investigators will continue to investigate COVID-19 Bounce Back Loan abuse, with the government announcing earlier this year that viable existing casework would be transferred to the Insolvency Service from the National Investigation Service (NATIS).

In 2024-25, the Insolvency Service secured 77 criminal convictions, over 1,000 director disqualifications, and more than £4 million in compensation. Forty-one companies were also wound-up in the public interest following investigations by the agency.

The economic benefits of the agency’s work in disqualifying company directors and shutting down rogue companies was calculated at in excess £50 million for this period.

Matt Ray, Director of Economic Crime Implementation at the Insolvency Service, said:

Fraud is now the most common crime affecting businesses and individuals across the UK. Meanwhile criminal and corrupt actors continue to use UK corporate structures at huge scale to obscure their activities and launder the proceeds.

Alongside our ongoing role upholding the UK’s insolvency framework we will adopt a much more central role in the fight against economic crime and work with Companies House and other partners to tackle the mass misuse of our corporate framework – helping us deliver economic confidence.

Over the course of the strategy, our investigators will protect more consumers than ever before from rogue companies, target directors who fail to meet the high standards of behaviour we expect from them and lead the fight against fraudsters who have exploited government schemes designed to help small businesses.

By acting against those who are unfit to run companies, we are reducing the harm caused to legitimate businesses and creditors and creating a prosperous environment that supports economic growth.

Martin Swain, Director of Intelligence and Law Enforcement Engagement at Companies House, said:

Collaboration with key partners such as the Insolvency Service, in helping us improve compliance and prevent misuse of the Companies House register, is central to our enforcement approach.

We already work closely with these partners in tackling misuse and – as we are now demonstrating – delivering real-world impacts in the fight against economic crime.

I’m delighted that moving forward these links will be strengthened further.

Further information

The enforcement strategy has three core objectives:

• Enforcement of the UK’s insolvency framework
• Enforcement of the Companies Act 1985 and associated legislation
• Tackling economic crime facilitated through companies

The Economic Crime and Corporate Transparency Act 2023 and its subsequent regulations created more than 100 new offences under the Companies Act and has provided funding for the Insolvency Service to play a more prominent role in corporate enforcement.

This will be supported by proactive intelligence gathering to keep pace with those who abuse the insolvency framework, manipulate victims, and take advantage of the corporate landscape.

The strategy will also see the Insolvency Service deepen its partnership with other agencies including the National Crime Agency and HMRC as well as working even more closely with Companies House to enforce corporate standards.

The Insolvency Service’s core role in protecting the insolvency framework and investigating national interest cases remains undiminished.

The press release issued by the Insolvency Service on 15 July 2025.

Money from the loans was only supposed to be used for the economic benefit of the business.

• Fitness company owner Junaid Dar dishonestly obtained £45,500 in Covid Bounce Back Loans during 2020
• Dar used some of the funds for legitimate purposes, but he also used money for personal spending at retailers, restaurants and leisure attractions
• The 34-year-old was handed a suspended sentence following investigations by the Insolvency Service

A Birmingham fraudster who secured three Covid loans for his company when businesses were only entitled to one used some of the funds for personal spending at restaurants and a safari park.

Junaid Dar, 34, made fraudulent applications to three separate banks for Bounce Back Loans worth a combined total of £45,500 during 2020 for his JDARPT Ltd fitness company.

Dar, of Stratford Road, Birmingham, was sentenced to 20 months in prison, suspended for 18 months, at Wolverhampton Crown Court on Thursday 10 July.

He was also ordered to complete 20 days of rehabilitation activity, 180 hours of unpaid work, and pay costs of £2,400.

David Snasdell, Chief Investigator at the Insolvency Service, said:

Junaid Dar deliberately made false representations to fraudulently receive three Bounce Back Loans when businesses were only entitled to one.

Instead of using this money to support his fitness business through the pandemic as intended, he diverted significant sums for personal spending.

Bounce Back Loans were designed to provide quick and simple financial support to businesses genuinely affected by Covid. The Insolvency Service will not tolerate abuse of the public purse and will continue to pursue fraudsters who exploited schemes designed to help legitimate businesses during a national crisis.

JDAPRT was incorporated in March 2017 with Dar as its sole director. The company’s trading activities were recorded as fitness facilities on Companies House.

Dar’s first fraudulent application was for a £13,000 Bounce Back Loan in May 2020.

In the application, Dar claimed JDAPRT’s turnover was £55,000.

Just two days later, Dar made a second application to a different bank for a Bounce Back Loan of £15,000.

In this application, Dar said his company’s turnover was now £60,000.

Dar’s third and final fraudulent application in September 2020 was for a Bounce Back Loan of £17,500.

This time, Dar falsely claimed his company’s turnover was £70,000. Insolvency Service analysis of the bank account revealed the company’s turnover was closer to £61,000.

Dar used some of the Bounce Back Loan funds for legitimate purposes. However, several transactions were recorded which Insolvency Service investigators found to be for personal use.

Payments were made to Amazon and Argos, along with spending at restaurants and meat stores. Further spending was identified at West Midlands Safari Park and making credit card payments.

JDARPT went into liquidation in July 2021.

Dar was also disqualified as a company director for 11 years from April 2022 for his misconduct at JDARPT.

Further information

• Junaid Dar is of Stratford Road, Birmingham. His date of birth is 21 February 1991

The press release issued by the Insolvency Service on 1 July 2025.

Director disqualification and compensation order for Bounce Back loan abuse.

• Building contractor Tahir Haq overstated his company Integral Maintenance Team Ltd’s turnover by almost £200,000 to obtain a £50,000 Bounce Back loan when it was only entitled to just over £3,000
• He then failed to provide evidence that all of the funds were used for the economic benefit of his business
• The High Court banned Haq as a company director for 11 years and ordered him to repay all the money he was not entitled to, plus interest and costs

A West London building contractor who overstated his company’s turnover by almost £200,000 to secure a maximum-value Covid Bounce Back loan has been banned as a director and ordered to repay the money he was not entitled to.

Tahir Haq obtained a £50,000 Bounce Back loan for building completion and freight transport company Integral Maintenance Team Ltd, in late 2020.

However, his company was only entitled to little more than £3,000 under the scheme.

The 46-year-old, of Norman Avenue, Southall, provided no evidence that some of the funds he received were used for the economic benefit of his business, including cash withdrawals and money which was paid to a housing scheme in Pakistan. Haq supplied no documents which demonstrated that the housing scheme was connected to his company.

Haq was disqualified as a company director for 11 years at a hearing of the High Court in London on Tuesday 10 June.

He was also ordered to pay compensation of £46,778, as well as interest on the loan totalling £4,078, and additional costs of £8,107.

His ban started on Tuesday 1 July.

Kevin Read, Chief Investigator at the Insolvency Service, said:

Tahir Haq overstated his company’s turnover by almost £200,000 to secure the maximum Bounce Back loan available.

Our investigation revealed he used some of this money for personal purposes, including payments to a housing scheme in Pakistan.

The 11-year disqualification and requirement to repay all the money he was never entitled to demonstrates our commitment to holding directors financially accountable when they misuse Covid support schemes.

Haq was the sole director of Integral Maintenance Team Ltd, which was set up in July 2018.

The company’s trading was described on Companies House as ‘other building completion and finishing’ and ‘freight transport by road’.

Haq secured the £50,000 Bounce Back loan for Integral Maintenance Team Ltd in December 2020, claiming the company’s turnover was £212,800.

However, receipts into the company bank account for 2019 were only £12,888, meaning he obtained £46,778 more than he should have.

Haq also failed to explain how at least £34,777 of the Bounce Back loan funds were used to benefit his company. The remaining funds were found to have been used for his business.

Liquidators were appointed for Integral Maintenance Team Ltd in November 2021.

The disqualification order prevents Haq from being involved in the promotion, formation or management of a company, without the permission of the court.

Further information

• Tahir Haq is of Norman Avenue, Southall, London. His date of birth is 10 July 1978

The press release issued by the Insolvency Service on 9 June 2025.

Jagoda Rubaszko guilty of fraud after inventing a business to apply for a £50,000 Covid Bounce Back Loan which she then sent to bank accounts in Poland.

• Rubaszko invented a business to get a £50,000 Covid Bounce Back Loan – which was paid out to five bank accounts in Poland
• She told Insolvency Service investigators a man called Daniel told her how to apply for the loan – but provided no evidence he exists
• Sentenced to six-month curfew and 18-month suspended sentence

A woman who pretended to run a business to secure a £50,000 Covid Bounce Back Loan has been sentenced for fraud following an investigation by the Insolvency Service.

Jagoda Rubaszko, 37, of Old Ruislip Road, Northolt, invented an administrative service business which she falsely claimed had a turnover of £210,000.

In reality, she had no business – and the £50,000 loan she received was sent to five separate bank accounts in Poland.

Rubaszko told investigators she had been contacted by a man called Daniel who told her how to apply for the loan, and to declare herself bankrupt to avoid having to repay it.

Rubaszko was sentenced to 18 months imprisonment, suspended for 21 months, for fraud by misrepresentation at Isleworth Crown Court on 5 June 2025.

She will be tagged and under curfew between 7.30pm and 6am every day for six months, and must complete 175 hours of unpaid work.

The Insolvency Service is seeking to recover the fraudulently obtained funds under the Proceeds of Crime Act 2002.

Mark Stephens, Chief Investigator at the Insolvency Service, said:

Jagoda Rubaszko claimed to be a business director, but she had no business at all. She invented a turnover of £210,000 even though her bank accounts showed no business dealings.

She invented a man called Daniel, who she has blamed for her actions, claiming he had told her to apply for the loan, and she believed she’d get away with this by declaring herself bankrupt.

What is definitely real, is that she took money which was meant to help businesses during a difficult period, and sent that funding off to the bank accounts of five men in Poland.

As a result, reality has now caught up with her.

Rubaszko applied to a bank for a Covid Bounce Back Loan on 26 April 2021, which was approved on 28 April 2021 and paid into her bank account.

In the application, she claimed she had been operating a business since 1 March 2020 and had a turnover of £210,000. But investigations into Rubaszko’s finances showed her tax returns were no higher than £15,100 each year between 2019 and 2021.

In a prepared statement, Rubaszko claimed to have been contacted by a man called Daniel, who told her how to apply for the loan, and to declare herself bankrupt to avoid repaying it.

But Rubaszko admitted she had never met Daniel, even though she said she paid him a £17,500 commission for his ‘help’ after receiving the £50,000.

Her bank records showed no such payment was made – instead, 22 smaller payments up to £11,690 were made to five individual bank accounts in Poland over a two-month period.

After declaring herself bankrupt, Rubaszko was subject to a 10-year Bankruptcy Restrictions Undertaking (BRU) on 12 May 2023. The BRU prevents her from managing a limited company until 2033.

Further information

• Jagoda Rubaszko is of Old Ruislip Road, Northolt. Her date of birth is 18 September 1987.