Bounce Back Loan Fraud Defence
If you are concerned that you may have committed bounce back loan fraud you should get legal help immediately. Don’t delay – contact us now. This is very important and we explain why below.
Treasury warns about misuse of Bounce Back Loans
Amid reports in the national press* that come company directors have used their bounce back funds as deposits for luxury cars the treasury has warned that misuse of Bounce Back Loan Scheme (BBLS) could result in prosecution for fraud. It should be pointed out that it is up to directors how they use the money awarded under the BBLS. However if they make a fraudulent application they are very much liable to prosecution.
You may be involved in a fraudulent application without your knowledge
Checks on eligibility are light and this makes the process open to fraud. There are concerns that criminal gangs may infiltrate legitimate businesses. This may for example be done through a member of staff. They may then engineer fraudulent applications that senior staff may be unaware of.
What are the criminal consequences of a fraudulent bounce back loan application?
There are at least two sections of the Fraud Act that may be brought to bear. These create the offence of making false representations. Other areas of the Fraud Act cover the setting up of a fraudulent business. This could include the setting up of a ‘fake’ business in order to obtain a bounce back loan.
All the above offences carry a lengthy prison sentence. The authorities can also seek the seizure and return of monies under the Proceeds of Crime Act.
Seek legal assistance to investigate your bounce back loan applications
There is likely to be an unprecedented level of scrutiny of this BBLS. A belief that your company has not done anything wrong is no guarantee that you will not be investigated. Therefore it is best to carry out an internal investigation of your applications as soon as possible. If evidence of wrongdoing is uncovered during the investigation there will likely be a conflict of interest for the company directors. They will need to properly investigate but this may compromise their ability to later defend themselves in court. It is best therefore to get legal assistance in your investigation from specialist criminal fraud lawyers.
Adam Law Solicitors are experts in all types of fraud and financial crime
We have years of experience in defending those accused of, or under investigation for fraud and financial crime. We have conducted many successful defences. A lot of those have been high profile cases receiving national and international attention. Many involved significant sums and serious potential sanctions.
Financial crime investigations can be extremely stressful, take up a huge amount of time, and cost a great deal of money. Anyone concerned that they may be impacted in any way by bounce back loan fraud should get in touch with us immediately.