Here are the details of this case.
On 22 October 2020 Muhammad Usman Yaqub (“Mr Yaqub”) caused Ice Hut Creamery Ltd (“the company”) to make a Bounce Back Loan (“BBL”) application of £50,000 when he knew, or ought to have known, that the company turnover supported an application for at most £21,112.
As a result, the company obtained at least £28,888 more than it was entitled to.
In that:
- Under the BBL scheme businesses who were established and operating before 1 March 2020 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.
- The company was incorporated on 27 June 2017 and commenced trading during June 2019.
- On 22 October 2020 Mr Yaqub applied for a BBL of £50,000 on behalf of the company declaring that its turnover for the calendar year 2019 was £200,000.
- The former company accountant has confirmed that from the commencement of trading to 31 December 2019 total company income was £38,850 with filed accounts for the period to 30 June 2020 showing 12 months turnover as £84,447.
- The company received the BBL funds of £50,000 on 23 October 2020.
- At the date of Liquidation, the company had total liabilities of £75,662 inclusive of £49,286 in respect of the BBL.
