Read on for the details of this case.
4 Year Ban
On 15 May 2020 Jennifer Sarah Elderkin (“Mrs Elderkin”) allowed Fowey River Limited (“Fowey”) to utilise £31,157 in Bounce Back Loan (“BBL”) funds for her own benefit and for the benefit of associates and not for the economic benefit of Fowey.
In that:
- In the BBL application, Mrs Elderkin’s co-director undertook that Fowey would use the BBL proceeds to provide economic benefit to the business and not for personal purposes.
- £50,000 was advanced on 18 May 2020 and between 28 May and 11 June 2020 Mrs Elderkin allowed Fowey to utilise £10,000 to pay a loan to a connected party, £10, 000 to make a payment to a connected company and £11,157 payment for her co-director’s personal credit card.
- Fowey went into liquidation on 22 April 2021 without having made any BBL repayments
8 Year Ban
On 15 May 2020 David William Elderkin (“Mr Elderkin”) caused Fowey River Limited (“Fowey”) to breach the conditions of the Bounce Back Loan (“BBL”) scheme by overstating Fowey’s turnover when applying for a BBL of £50,000 when he knew or ought to have known that Fowey was not eligible for a BBL of that amount.
- In addition, between 18 May and 11 June 2020 Mr Elderkin caused Fowey to utilise at least £24,696 of the BBL funds for his personal benefit or for the benefit of associated parties, and not for the economic benefit of Fowey.
- In that: In the BBL application Mr Elderkin signed a declaration that Fowey would use the loan proceeds to provide economic benefit to the business and not for personal purposes.
- Between 18 May and 11 June 2020 Mr Elderkin caused Fowey to pay £10,000 to an account held by himself and a connected party, £10,000 to a connected company and £10,707 to his personal credit card accounts, at least £24,696 of which payments can only have been made from the BBL advance.
- Fowey went into liquidation on 22 April 2021 without having made any BBL repayments.
