Company Director gets 9 year ban for Covid loan lies
£50k loan for company with £2k turnover
A company director who secured a £50k coronavirus loan for his Wolverhampton-based business under the Bounce Back Loan Scheme has been disqualified from being a Limited Company director for nine years.
Inderjit Singh Dadial was the sole director of Cali Juices Ltd. The company’s accounts ending January 2020 showed a turnover of just over £2,000, but the Insolvency Service investigation found that Inderjit Singh Dadial had lied and stated the turnover as £250,000.
Moreover, the company was not in fact eligible for any money under the scheme based on its actual accounts, and income received into the company’s bank account.
The Secretary of State for Business, Energy and Industrial Strategy accepted a disqualification undertaking from Inderjit Singh Dadial after he admitted grossly inflating the company’s turnover to secure the Bounce Back Loan. His ban runs from 21 March 2022 and lasts for 9 years.
It comes two months after the Treasury confirmed that it wrote off £4.3 billion worth of the £5.8bn of fraud witnessed across its Covid business loan schemes.
Former Treasury minister Lord Agnew resigned from his role in January in anger over the handling of fraudulent coronavirus loans and has since slammed the Treasury’s anti-fraud efforts as a ‘Dad’s Army’ operation.
Dave Elliott, chief investigator at The Insolvency Service, said the Dadial case was proof it was tracking down fraudsters.
He said: "The Insolvency Service will not hesitate to investigate and use its powers against those who have abused the Covid-19 support schemes.”
