Over-egging their Business turnover to blag a BBL from Barclays resulted in both of the Directors named below being slapped with bans.
2 Year 6 Month Disqualification
Between 16 March 2020 and 1 July 2022, when she resigned, Mrs Rachel Bailey abrogated her duties as a director of Tomas Bailey Associates (“TB Associates”) which resulted in her co-director making an application for a Bounce Back Loan (“BBL”) and TB Associates receiving BBL funds to which it was not entitled.
10 Year Disqualification
On 04 May 2020 Mr Tomas Bailey (Mr Bailey) caused Tomas Bailey Associates Limited (TB Associates) to make a Bounce Back Loan (“BBL”) application of £49,000 which he knew or ought to have known did not meet the terms of the scheme.
In that:
- Mr Bailey made a wrongful declaration by overstating TB Associate’s turnover, as a result TB Associates has received BBL funds of £41,348 that it was not entitled to.
- 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 was that for the calendar year 2019 or where a business was established after 1 January 2019 it is their estimated turnover.
- TB Associates was incorporated on 23 March 2017.
- Accounts signed by Mr Bailey and filed at Companies House on 31 December 2019 show company turnover for year ending 31 March 2019 as £30,605.
- Subsequent accounts filed at Companies House dated 12 February 2021 show company turnover for year ending 31 March 2020 as £31,937.
- On 04 May 2020, Mr Bailey applied for a BBL of £49,000 on behalf of TB Associates declaring that its turnover for the calendar year 2019 was £200,000.
- TB Associates received BBL funds of £49,000 on 06 May which were up to £41,348.75 in excess of what it was entitled to.
Total liabilities at liquidation amount to £52,788 of which £49,000 relates to the amount owed in respect of the BBL.
