Luqman brother guilty over £100m Lexi fraud
WAHEED Luqman, a director of failed Manchester bridging loans company Lexi Holdings, has been sentenced to seven-and-a half years in jail for fraud.
Mr Luqman, formerly of Hale Barns, was not in court to hear the verdict as he has fled this country and is believed to be in Pakistan with his brother Shaid, who has also absconded and is also wanted by the police.
Waheed Luqman, who was a director of Lexi, deceived banks that provided a financing arrangement for the purchase and development of properties.
He was found guilty of fraud and false accounting by a jury at Manchester Crown Court on January 16.
The sentences were seven years and six months for conspiracy to defraud and four years and six months for each of the two counts of conspiracy to falsely account. All three sentences are concurrent.
He was also disqualified from acting as a company director for 15 years and has been ordered to pay costs to the Serious Fraud Office of £250,000.
An alleged accomplice, Mohammed Bhatti, charged with money laundering offences, was acquitted.
Manchester-based Lexi Holdings went into administration in 2006 with debts of over £100m.
Waheed Luqman, 39, conspired with other members of the Luqman family, principally his brother Shaid, to defraud creditors of the company, including Barclays Bank plc, which was the main lender. The period spans 2000 to 2006.
Luqman, who absconded in August 2011 after he was charged and is thought to be in Pakistan, was tried in absentia. He was guilty of one common law charge of conspiracy to defraud creditors of Pearl Holdings (Europe) Ltd, later known as Lexi Holdings plc, and two charges of conspiracy to falsely account contrary to section1 of the Criminal Law 1997.
In a statement the Serious Fraud Office said: “His brother, Shaid Luqman, the
main perpetrator of the fraud, fled the jurisdiction in June 2011 before he could be charged.
“It is thought that he too is in Pakistan. Other family members named as conspirators but not charged because of medical reasons are the Luqman sisters Zaurian and Monazar who are also outside the jurisdiction.”
The SFO described the case as a “long running and intricate fraud”. The investigation opened in July 2009 and assistance was provided by the police forces of Cheshire, Greater Manchester and City of London.
Waheed Luqman and Mohammed Bhatti were charged in June 2011. Their trial opened at Manchester Crown Court June 12 2012 without Luqman in attendance.
Administrator KPMG remains on the trail of the Luqmans in a bid to try and recover assets for creditors.
