Published: 22/07/2021 By Jane PriceAction taken against company directors abusing COVID-19 financial Support loans
Since February 2021, the Insolvency Services has successfully petitioned to the Courts to wind up five limited companies for fraudulent COVID-19 business support loans. Details of which can be found here
Dave Elliott, Chief Investigator at the Insolvency Service, said:
‘’The Bounce Back Loan scheme was made available to help support businesses during the pandemic. It is outrageous that some directors have been trying to abuse this support, and the action we have taken shows we take this issue extremely seriously.
I urge anyone who suspects a company has been involved in this kind of abuse, or has information about directors fraudulently obtaining Covid business support, to alert us immediately.’’
Extra powers will soon be given to The Insolvency Service to allow them to investigate Bounce Back Loan fraud in cases where companies have been dissolved. Our senior partner Martin Armstrong blogged about this on the 17th May. To read his article click here.