Here are the details of this case.
Imran Mohammed Hanif (“Mr Hanif”) caused Imran & Hanif Planning & Design Limited (“Planning & Design”) to make a false application for a Bounce Back loan of £50,000 when he knew or ought to have known that at best Planning & Design was only eligible for a loan of £7,230, at most, based on turnover to a maximum amount of £28,923 and that the information supplied to support the application was false,
In that:
- On 24 May 2020, Mr Hanif made an application using the name of a co-director, to a financial institution for a Bounce Back Loan of £50,000 on behalf of Planning & Design.
- The Bounce Back Loan criteria allowed a company to borrow between £2,000 and a maximum of £50,000 based on 25% of the company’s turnover.
- The loan application asked Planning & Design to provide details of its turnover for 2019.
- Mr Hanif stated on the application form that the turnover for Planning & Design was £250,000. The prepared accounts for the period 29 May 2018 to 31 March 2019 show a turnover of £5,000.
- The prepared accounts for the year ended 31 March 2020, show a turnover of £23,923. The BBL funds of £50,000 was paid into the company’s bank account on 27 May 2020.
- At liquidation, Planning & Design had liabilities totalling £62,962 of which £48,432 is in respect of the Bounce Back Loan.
