Jail for £140k fraud bid man
A COMPANY director fraudulently tried to claim more than £140,000 in VAT repayments by setting up up fake marketing consultancy businesses, a court heard.
A COMPANY director fraudulently tried to claim more than £140,000 in VAT repayments by setting up fake marketing consultancy businesses.
Richard Morgan, 53, from Aberdare, who set up seven fake companies and sent bogus invoices between them, was jailed at Merthyr Tydfil Crown Court last week.
Speaking after the hearing, assistant director of the Fraud Investigation Service Colin Sprinks said: “He never intended to trade legitimately.”
The court heard the offending occurred between July 2015 and February 2016.
Morgan made eight false VAT repayment claims in a bid to get repayments of £141,369, of which £17,610 was actually paid out.
Investigators found none of his companies had any legitimate trade and were set up solely to make fraudulent claims for repayments.
The court heard he provided fake bank statements and invoices to support the claims, but investigators found it was all fictitious. Morgan went on to set up other companies while he was under investigation, but was still unable to prove any legitimate trade.
The defendant, from Kingsbury Place in Llywdcoed, Aberdare, admitted being knowingly concerned in the fraudulent evasion of VAT.
He also admitted possession of and making or supplying articles for use in fraud. Morgan was jailed for 18 months and disqualified from being a company director for the next five years.
Mr Sprinks, of HMRC, said: “Morgan attempted to make a lot of money at the expense of taxpayers and the UK’s public services, setting up companies just so that he could steal the VAT.
“He never intended to trade legitimately, instead, faked invoices that made it look like he was trading.”
He added: “He knew exactly what he was doing, but he is now paying the price.”
Mr Sprinks asked anyone with information about individuals or businesses they believe to be committing tax fraud to contact their fraud hotline on 0800 788 887.