Read on for the details of this case.
Burak Kalfa (“Mr Kalfa”) caused Garagepoint Ltd (“Garagepoint”) to breach the terms and conditions of the Bounce Back Loan (“BBL”) scheme by overestimating its turnover on the BBL application, as a result of which Garagepoint received more funds than it was eligible to from the BBL scheme.
In that:
- Under the BBL scheme businesses could apply for a loan of between £2,000 and £50,000 subject to a maximum of up to 25% of turnover.
- The turnover figure was self-certified by the applicant.
- The turnover figure required where a business was established after 01 January 2019 was their estimated turnover.
- Garagepoint was incorporated on 05 June 2018.
- Garagepoint commenced trading on 01 October 2019.
- On 15 May 2020, Mr Kalfa made an application for a BBL of £50,000 on behalf of Garagepoint declaring that its estimated turnover was £200,000.
- Garagepoint filed dormant accounts for the period ending 30 June 2019.
- Garagepoint filed accounts for the period ending 30 June 2020, which show turnover of £21,942 for 9 months of trade.
- Garagepoint’s bank statements show that from commencement of trading on 01 October 2019 to the date that the BBL application was made on 15 May 2020, credits totalling £30,970 were received.
- Garagepoint received the BBL funds of £50,000 on 18 May 2020.
- On 15 December 2022, Garagepoint entered Creditor’s Voluntary Liquidation with total liabilities of £67,524.47, of which £49,920.12 was owed in respect of the BBL
