Six-year ban for director who sold diesel with incorrect duty levy

An Oldham company boss has been banned as a director for six yearsafter selling diesel fuel on which he had not paid the correct level of duty.

Muhammed Farooq Saeed, 49, was a director of SFS (Oldham) Ltd which operated the Scouthead petrol station in the town and which went into liquidation on February 5, 2016 owing £61,730 to creditors.

Of this, £53,678 was owed to taxpayers as he had not been paying the full level of duty on diesel fuel sold.

The disqualification means Mr Saeed is banned from acting as a company director or from managing, or in any way controlling, a limited company from April 14 until 2023.

An Insolvency Service investigation found that between March 26, 2013 and March 13, 2015, Saeed caused SFS to trade the detriment of HM Revenue & Customs (HMRC) by causing SFS to sell diesel which did not bear duty at the full rate and by causing SFS to supress sales of illicit diesel. HMRC subsequently raised an assessment and penalty totalling a combined £58,344.

Aldona O’Hara, chief investigator of Insolvent Investigations Midlands & West at the Insolvency Service, said: “Company directors have a duty to ensure businesses meet their legal obligations, including paying taxes.

“Neglect of tax affairs is not a victimless action as it deprives the taxpayer of the funds needed to operate public services.”