Director took £50k Covid loan when firm was in liquidation

A BUSINESS director took a £50,000 pandemic loan despite the automotive business already being in liquidation.

Anthony Stephen Miller was the director of Millers Commercial Refinishers Ltd which traded from

July 2017 until early 2020 after which it went into liquidation in June 2020.

The company, based in Great Harwood, provided body repair service for vehicles damaged in accidents.

It officially ceased trading in early 2020.

Miller, 48, had informed third parties that the company would be put into liquidation and approached an Insolvency

Practitioner in February 2020.

When the company did eventually go into liquidation in June 2020, the company liquidators referred the case to the Insolvency Service.

However, a subsequent investigation by the Insolvency Service found that the company had applied for and received a £50,000 Bounce Back Loan, despite it being clear that companies that had already ceased trading were not eligible for the loans.

The loans were being offered to businesses during the pandemic in an attempt to support genuine companies during lockdown.

Miller transferred nearly £30,000 of the loan out of the company’s account to a connected company, despite owing HMRC at least £30,486 in unpaid VAT, PAYE and other charges at the point Millers Commercial Refinishers went into liquidation.

The Secretary of State for Business, Energy and Industrial Strategy accepted a disqualification undertaking from Miller, which began on February 22, 2022 and lasts for eight years.

The disqualification undertaking prevents Miller from directly or indirectly becoming involved in the promotion, formation or management of a company without the permission of the court.

Rob Clarke, chief investigator at the Insolvency Service, said: “Bounce Back Loans were made available for trading companies adversely affected by the pandemic.

“Anthony Miller knew his company had ceased trading yet he took it anyway.

“We will not hesitate to take action against directors who have abused Covid-19 financial support like this, and his lengthy ban should serve as a warning to others.”