“We have teams dedicated solely to investigating Bounce Back Loan misconduct that are committed to taking action against those who provided misleading information to receive money they were not entitled to.”
The Covid Bounce Back Loan Scheme was introduced at the start of the pandemic in 2020. It helped small and medium-sized businesses borrow between £2,000 and £50,000 at a low interest rate, guaranteed by the government. Businesses were entitled to a single loan of up to 25% of their turnover under the scheme. Individuals could use the loans only for the economic benefit of the business and not for personal purposes.More than 1,400 Covid bounce back loan cheats given company directorship bans
During the last year more than 800 company directors have been disqualified for abusing Covid support schemes following investigations by the Insolvency Service, taking the total banned since 2021 to more than 1,400.
They include Huddersfield man Richard Ward, who signed a 12-year disqualification undertaking in June 2023.
Ward, 42, of North Cross Road, Huddersfield, applied for three Bounce Back Loans worth a combined £120,000 in the summer of 2020 on behalf of Colt House Event Management Ltd, Colt House Developers Ltd, and Colt House Bloodstock Ltd.
He claimed the companies ran corporate hospitality golf events, developed a large residential property in Huddersfield and purchased foals for future sale.
However, investigations by the Insolvency Service revealed none of the companies had any income in their bank accounts before receiving the loans. Ward also transferred at least £105,000 of the funds to his own account for his personal use.
During 2023-24, a total of 831 directors were banned for Covid financial support scheme misconduct, with an average disqualification length of more than nine-and-a-half years.
Dean Beale, Chief Executive at the Insolvency Service, said: “Tackling Bounce Back Loan misconduct is a key priority for the Insolvency Service and we are determined to use all our available powers to remove rogue company directors from the corporate arena.
“It is important the Insolvency Service is taking such robust action to clamp down on directors who abused Covid support schemes and took from the public purse during the worst global pandemic for 100 years.
Pioneering peatland project completed
A pioneering £350,000 project to restore peatland at Arden Great Moor, near Helmsley, has been completed.
The project, undertaken by Mexborough Estates, the owner of 3000-acre Arden Great Moor, will have serious and sustainable environmental benefits.
Arden Great Moor is situated in the Howardian Hills in the heart of the North York Moors National Park.
Jamie Savile, director of Mexborough Estates, explained: “The restoration of peatland is now common practice across the UK and we were keen to play our part in creating a greener and healthier environment on the moor.
“In essence, the work we have done will improve the blanket bog peatland habitat, which is some 40 centimetres-plus deep, improve the hydrological integrity of the peatland and preserve the shallower peat bodies. Taken together, these changes will benefit wildlife, create carbon sinks, reduce greenhouse gas emissions and improve quality of the water on the moor.
“Extensive research has shown how improvements to peatlands that have suffered from drainage problems, erosion or burning are increasingly important.”
The cost of the work will be reimbursed by the Government under Countryside Stewardship Scheme.
Jamie Savile continued: “Our North Yorkshire estate is part of the North York Moors National Park and contains sites of special scientific interest and special areas of conservation. They are a haven for wildlife and home to rare flora and fauna as well as having sites of historical interest and architectural heritage.
“It is our duty to look after these sites pro-actively and responsibly. Environmental considerations are crucial and great care is taken to have a responsible stewardship and maintain the natural beauty of the environment.”
The work on Great Arden Moor included:
- Planting 180,000 Sphagnum plugs over the deep peat areas to re-establish the acrotelm and restore the capability of the peat to enable it to actively regenerate and become a carbon sink
- 11,104m Grip and gully blocking and re-profiling to restore the hydrological integrity of the peat mass
- Installation of 118 Arc bunds to capture lateral surface flow
- Reprofiling and returfing 1,298m hags to restore the bare peat
- Installing 79 timber trickle dams to slow the flow, raise the water table and establish build up sediment behind the dams
- Creation of 2 water retention areas to slow the flow, raise the water table and capture sediment
- Revegetating and restoring bare peat and micro-erosion areas using brash, seed and plug plants
- 300ha Scrub clearance to preserve protected and priority peatland habitats.
Finance for Enterprise provides funding to support £1.8m acquisition of metal fabrication firm
South Yorkshire-based Finance For Enterprise (FFE) has provided £250k of funding to DINH Ltd to support the acquisition of AAP Metal Fabrication Services Ltd.
Based in Jarrow, Tyne & Wear, AAP was established in 2009 and provides bespoke metal fabrication services with particular expertise in the Subsea, Offshore and renewables sectors. The acquisition will see the current AAP directors retire with immediate effect.
The DINH purchasers are Gordon Watt and Jeremy McLeod-MacKenzie, who are both qualified accountants and experienced business owners. They already jointly own three other UK businesses involved in engineering and metal fabrication.
The strategic fit of acquiring AAP is strong due to the buyers’ existing business, Washington Waterjet Ltd (WWJ), being located in the same area.
The intention is for AAP’s general manager to take over the day-to-day operations with support from Terry Hall who is MD of WWJ and will also become the Managing Director of AAP. Jeremy McLeod-MacKenzie will provide FD and strategic support to both businesses.
Commenting on the acquisition, Jeremy McLeod-MacKenzie said: “AAP has developed a strong reputation for supporting local clients with innovative solutions in a timely manner.
“This has resulted in the development of a loyal customer base that considers AAP a critical supplier. There is still huge potential to extend AAP’s geographical reach and continue its development and growth, with focus to date having been on their local marketplace.”
Two new jobs are anticipated to be created based on the increasing revenue in the business. These are expected within the next 12 months.
Commenting on behalf of FFE, Neil Wade, Senior Business Lending Manager, said: “We are delighted to have supported two entrepreneurs to complete the acquisition of their fourth engineering business. In doing so, the deal has helped to protect and create new jobs in an area that currently suffers higher than average levels of unemployment. (ONS Feb 2024)”
This deal represents the first deployment of FFE’s new £25m facility recently announced as part of the £62m CIEF funding provided by Lloyds Bank and Big City Capital.
The deal was introduced to FFE by Pegasus Funding Solutions. The remainder of the funding for the deal has been provided by a combination of cash, invoice finance and deferred consideration.
Leeds-based start-up investment network appoints Gordons as legal partner
Law firm Gordons has been appointed as the legal partner of Leeds-based Lifted Ventures, a start-up investment network aimed at supporting female founders.
As legal partner, Gordons will advise the network’s investors and provide guidance to start-ups throughout the funding process, including early stage, growth and exit.
Lifted Ventures was founded in 2023 by Helen Oldham and Jordan Dargue, who were joint leaders of the NorthInvest angel network and co-founders of both Fund Her North and Women Angels of the North.
Helen Oldham said: “Lifted Ventures is an early-stage investment connector, existing to increase the flow of early-stage capital to female-founded businesses.
“It’s critical that both our community of angel investors and our founders – especially those who may be going through this process for the first time – have access to reliable and experienced legal experts. The Lifted Ventures team are so pleased to be able to facilitate this for our network through our partnership with Gordons.”
To date, Lifted Ventures has facilitated over £450m of funding and helped more than 500 entrepreneurs across a range of sectors outside of London and the South East.
Amy Pierechod, partner and head of start-ups and emerging companies at Gordons, said: “Lifted Ventures has a vital mission in getting capital flowing to women-led start-ups. It’s great to have been appointed and we are looking forward to leveraging our experience in this space to provide straight-forward, practical advice to the network and grow its list of success stories.”
Four Yorkshire people arrested in potential multi-million pound fraud
Four people have been arrested in connection with an investigation into waste offences, fraud and money laundering after raids at three homes in Yorkshire.
The raids involved the Environment Agency, Joint Unit for Waste Crime and Yorkshire & Humber Regional Organised Crime Unit, but enquiries so far indicate the fraud suspected by the individuals and companies under investigation has resulted in a multi-million pound financial benefit.
Four people – a man and woman in their 20s from Leeds, a man in his 50s from Doncaster, and a man in his 30s from Calderdale were arrested in connection with the investigation, and evidence including digital devices were seized.
The arrests relate to two ongoing investigations being carried out by the Environment Agency and Joint Unit for Waste Crime into fraud, money laundering and offences under the producer responsibility regulations.
Producer responsibility is about making sure businesses that manufacture, import and sell products such as electrical and electronic equipment, batteries and scrap vehicles are responsible for their end-of-life environmental impact.
Anyone defrauding the system and receiving financial benefit are taking money away from legitimate businesses and funding that should be invested in improving the UK’s recycling infrastructure.
Emma Viner, enforcement & investigations manager at the Environment Agency said: “We are thoroughly following and interrogating the evidence gathered during the raids to progress our ongoing investigation.
“Enquiries of this nature are complex and the financial benefit can be substantial. Our overall aim is to bring those involved to justice and remove the financial benefit made through committing crime.”
Beverley MP steps down from Ministerial post
Beverley and Holderness MP Graham Stuart is stepping down from the role of Minister for Energy Security and Net Zero, which he has held since 2016, though he’s staying on as the MP for his East Yorkshire constituency.
He said: “Having served as a Minister for most of the last eight years I have decided to stand down. I intend to continue serving my constituents in East Yorkshire, and look forward to fighting and winning the seat later this year.
Prime Minister Rushi Sunak said: “Graham has been a dedicated Minister and have helped this country lead the way in developing clean, green and secure sources of energy, playing a crucial role in making sure that this country and its industries are well prepared for the growth opportunities that the energy transition will provide.”
Government puts £1.5m into boosting occupational health services
Five projects are to share £1.5m to develop new ways to improve occupational health services which will eventually be made available to small firms to help them support their employees to stay in work.
The new technology developed through the Fund will help unlock opportunities to improve people’s work and wellbeing, says the government as it seeks to boost health and employment support to drive down inactivity.
Before the pandemic, inactivity in the UK had fallen by over 850,000 and while it currently remains lower than G7, EU and OECD averages, many people including those from younger generations are out of work due to long term sickness, in large part been driven by mental health conditions like depression and anxiety.
With long-term sickness now the main reason people of working-age give for being economically inactive, occupational health services can help employers provide in work support to manage their employees’ health conditions and reduce the number of those becoming inactive.
However, only 45% of workers in Britain have access to some form of occupational health, with an estimated 1.8 million workers reporting work-related ill health in 2022/23. That’s why the government is working with companies to develop new technology to better understand employee health, provide tailored support and tackle long-term sickness to help people stay and succeed in work.
Minister for Employment Jo Churchill said: “Time off work due to sickness costs British business £100 billion every year. The innovative solutions developed through this funding will benefit businesses as we harness AI and technology to support a healthier and more productive workforce.
“Delivering through our Back to Work Plan and Occupational Health Taskforce, we are driving down inactivity and helping people reach their potential both in work and their daily lives.”
Minister for Health and Social Care Helen Whately said: “Every year many thousands of people take time off work – or leave work altogether – because of ill health. But at the same time, there are millions of people who are working with health conditions, often supported by occupational health services.
“We want more people to be able to benefit from occupational health support, particularly people working in smaller businesses or those who are self-employed. That’s why we’re investing in these innovative approaches to occupational health. This sits alongside our plans for WorkWell which will help people access support to stay in work, and our fit note reforms.
“A healthy economy depends on a healthy workforce. Making sure people can be healthy and stay in work is crucial for individuals, businesses and our country as a whole.”
Doncaster Airport’s almost ready for takeoff
The final stages of appointing an operator for Doncaster Airport have been reached, and TUI has said it wants to bring its flights back to South Yorkshire.
That’s according to Doncaster Mayor Ros Jones said: “We are in the final stages of appointing an airport operator. The final bidders are currently finalising their own business plans and vision now that they are able to consider the underlease and access the site as part of their due diligence.
“With the right operator our airport has incredible potential to truly thrive and be the economic stimulus that we all know it can and should be. Our vision is for a world leading centre for sustainable aviation and the operator will share this vision and work in partnership with us to make it a reality. Once the procurement process is concluded we will make the announcement.”
Meanwhile, following the lease announcement last month, TUI have said it is keen to return to the airport. The Mayor said: “We have kept in regular contact with them since the structural review of the former DSA site was announced. We have engaged TUI with the bidders for their return to our airport to be explored and we are hopeful that we will see TUI back in Doncaster.
“I would like to personally thank Mark Chadwick for all his support in leading the #saveDSA campaign. Mark continues to be influential in maintaining public interest and optimism. He helped spread the message of hope far and wide and continues to keep people informed and thus his contribution cannot be understated.”
Croda named as ‘most admired’ for seventh consecutive year
Snaith-based Croda International has been voted ‘Britain’s Most Admired Chemicals Company’ for the seventh year running.
Britain’s Most Admired Companies is the longest-running peer-review survey of corporate reputation in the UK and asks participants to rate companies in their sector against 13 criteria critical to business success.
Steve Foots, Group Chief Executive of Croda said: “To win this award consistently for the last seven years is a remarkable feat and is a testament to the unwavering can-do spirit and hard work of our employees.
“While 2023 was a financially challenging year for Croda, being voted second out of 251 companies for our long-term potential is a phenomenal achievement and one that reflects our strong desire to capture the extensive growth opportunities ahead of us.”
Facebook Marketplace furniture fraudster gets jail term
A Facebook Marketplace from Rotherham who defrauded people trying to buy furniture during lockdown has been sent to prison for money laundering and fraud.
Ryan Rhys Burns, 32, of 26 St Mary’s Road, Rotherham, conned customers out of £14,544 for furnishings that didn’t exist or completely unfit for purpose.
More than 100 complaints were made by consumers between August 2020 and July 2022 about two online businesses – Bespoke Furnishings and Rustic Furnishings – which Burns ran to carry out a widespread fraud.
Both companies operated via Facebook Marketplace and displayed photographs of the furniture that they claimed to make. The pages often appeared as advertisements on victims’ Facebook feed after they had been searching for furniture online.
Burns used a network of ten bank accounts under his and his partner’s names to launder money. He spent the stolen money on holidays, restaurants, take-aways and other luxury items. He also used fake addresses in the latter part of the fraud.
Victims were met with lies and hostility from either Burns or his partner, who frequently acted on his behalf, when they enquired about a refund. One victim described how he “tried to be patient and polite to start with, but then realised I was just the victim of a scammer who was repeatedly lying to me”. Another said: “I feel as if I have been scammed and wonder how somebody could do this to someone else.” On limited occasions, refunds were given but this appeared to be done reluctantly and only after victims exerted a significant amount of effort to get their money back.
Burns was sentenced to 12 months imprisonment under the Fraud Act 2006 and Proceeds of Crime Act 2002, and will serve half.
The investigation was conducted by the National Trading Standards Regional Investigations Team (Yorkshire and Humber), hosted at City of York Council, and was supported by Rotherham Trading Standards.
Lord Michael Bichard, Chair of National Trading Standards, said: “Stealing from people looking to improve their homes while pandemic restrictions forced them to stay indoors shows that Burns had a callous disregard for his victims, inflicting additional distress during an already turbulent time.
“This sentence sends a strong message that fraud does not go unpunished and I congratulate all those involved in bringing Burns to justice and preventing him from targeting anyone else.”
Ruth Andrews, Regional Investigations Manager for the Yorkshire and Humber at City of York Council added: “Many consumers lost significant sums of money to this fraud, which was committed when many people were feeling particularly vulnerable during the pandemic.
“The actions of Burns, including failing to refund disappointed customers and his behaviour in response to their complaints, was completely unacceptable and deliberate, and has been reflected in his sentencing today. I’m grateful to our persistent and hardworking team of investigators here in York and in Rotherham.”
