Former VAT inspector’s £4m fraud

that he had included a number of gold deals which did not take place and for which he had not therefore received any commission.

It was also discovered between February 2011 and February 2014 he had made a number of VAT returns for another firm, 5 Business, claiming £30,107 in repayments of which he received £20,214 but failed to supply genuine invoices to support the claims. Mr Clegg said the total loss was therefore only £20,214 but had Bailey succeeded with his other claims another £4,267,048 would have been paid out.

Williams Staunton, representing Bailey, said the extremely large sums claimed were “fanciful” but were “doomed to fail” because of the safeguards. Bailey was of good character, having worked as a physics and maths teacher, for customs and also as a regional manager for an accounts firm but had looked for something to do on his retirement.

He said Bailey was the sole carer for his elderly mother and urged the court not to jail him.

Bailey, 67, of Bank Lane, Denby Dale, admitted three charges of being concerned in fraudulent evasion of VAT.

Disqualifying as a director for five years Judge Guy Kearl QC said: “This offending was not accidental, it was dishonest.”

He said Bailey had even pretended to be paying himself fees.

“You were motivated by personal gain,” the judge added. “This was planned and not an opportunistic oneoff.”

You were motivated by personal gain. This was planned and not an opportunistic one-off