Cloth­ing firms boss car­ried out £120k VAT fraud

Rochdale Observer - - SON LEFT AFRAID TO LEAVE HOUSE BY ATTACK AT SCHOOL - Emma.curry@reach­plc.com @em­malouise­curry

ACLOTHING whole­saler forged doc­u­ments to fraud­u­lently claim al­most £120,000 in VAT re­pay­ments.

Ab­dul Ma­jeed, aged 42, of Blue­bell Drive, Rochdale, sub­mit­ted faked in­voices as the com­pany sec­re­tary of Rochdale fash­ion firms Ma­j­tex Lim­ited and Ma­j­tex In­ter­na­tional Lim­ited. An in­ves­ti­ga­tion by HM Rev­enue and Cus­toms (HMRC) re­vealed Ma­jeed used le­git­i­mate sup­pli­ers’ in­voices as tem­plates to cre­ate false sales and pur­chase doc­u­ments.

He then used the fake in­voices as ev­i­dence of sup­posed UK and over­seas sales and pur­chases and claimed £119,624 in VAT re­pay­ments which he was not en­ti­tled to, al­though £14,353 was with­held.

HMRC of­fi­cers raised con­cerns about sus­pected tax eva­sion and Ma­jeed was then of­fered the op­por­tu­nity to dis­close any tax ir­reg­u­lar­i­ties within 60 days, known as a Con­trac­tual Dis­clo­sure Fa­cil­ity.

He ig­nored the of­fer, so a crim­i­nal in­ves­ti­ga­tion was launched and Ma­jeed’s VAT fraud, which took place over eight years, from April 2006 to April 2014, was un­cov­ered.

Soon af­ter, dereg­is­tered Ma­jeed Ma­j­tex In­ter­na­tional Lim­ited for VAT.

He ad­mit­ted cheat­ing the pub­lic rev­enue at Manch­ester Crown Court and was handed a two-year sus­pended pri­son sen­tence and or­dered to carry out 150 hours of com­mu­nity ser­vice.

He was also or­dered to pay £70,271 com­pen­sa­tion to HMRC and £3,000 court costs.

Af­ter the trial Paul May­bury, as­sis­tant di­rec­tor of the Fraud In­ves­ti­ga­tion Ser­vice at HMRC, said: “Ma­jeed has fi­nally ad­mit­ted his crime and is pay­ing for his greed.

“He had the op­por­tu­nity to put his tax af­fairs in or­der and not be crim­i­nally in­ves­ti­gated.

“But he ig­nored HMRC and now has a crim­i­nal con­vic­tion for tax eva­sion.

“If HMRC had not stopped the fraud, Ma­jeed would have con­tin­ued to steal from the pub­lic funds we all rely on. We en­cour­age any­one with in­for­ma­tion about sus­pected tax fraud to re­port it on­line or contact our fraud hot­line on 0800 788 887.”

●●Ab­dul Ma­jeed used fake in­voices to claim VAT re­pay­ments

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