Twelve convicted over £2.4m Covid loan fraud
Twelve members of a nationally organised crime group have been convicted after fraudulently claiming more than £2.4m of Covid-19 support grants.
The group of men from Birmingham, Walsall and Yorkshire used 53 different companies and over 100 different bank accounts in their fraud and money laundering operation.
More than £530k was secured from the Small Business Grant Fund from five different local authorities.
They obtained public funds in the form of HMRC self-assessment and Eat Out To Help Out scheme payments to the value of in excess of £530k. The group also secured 26 Bounce Back loans totalling more than £1.3m from seven different banks.
The group became directors of companies that were not trading or used stolen identities to make fraudulent applications for cash. They opened multiple bank accounts and also persuaded other people to use theirs in exchange for payment before the money was laundered through multiple accounts and then transferred out of the UK jurisdiction via accounts in the Netherlands and the United Arab Emirates.
Following a long-running investigation by Birmingham City Council’s Trading Standards service which started in 2020, evidence was found that indicated the defendants were working with and as part of an organised crime group
Defendants appeared before Birmingham Crown Court over two trials – split because of the number of defendants – each of the 12 either entered guilty pleas or were convicted after trial of offences including conspiracy to defraud and money laundering.
Mark Jackson and Lucinda Wilmott-Lascelles, prosecuting on behalf of Birmingham City Council, said the group was “responsible for a very well-planned, sophisticated and sustained attack upon the financial support measures put in place by the UK government to try to support businesses and individuals struggling during and as a result of the Covid 19 pandemic”.
Cllr Sam Forsyth, chair of Birmingham City Council’s licensing and public protection committee, said: “These were wicked crimes during a national emergency. Across the country people were suffering during the pandemic but most people were determined to help each other. However, these men saw an opportunity to fraudulently make money, taking funds from the public purse.
“These convictions should make absolutely clear that if you behave like this you will be caught and face the consequences of your actions. The investigation has been long and complex and I would like to extend huge thanks to everyone involved.”
Cllr John Cotton, leader of the city council, added: “To attempt to defraud the taxpayer, and potentially deprive others of vital funds, during a global pandemic is an abhorrent crime. My thanks go to the council officers and our partners who have worked so hard to bring these criminals to justice.”
Appearing before the court were:
Qirat Deeas, 50, of The Hurst, Moseley, Birmingham
Ummer Yousaf, 40, of Bent Avenue, Quinton
Usaamah Bin Taariq, 25, of The Hurst, Moseley, Birmingham
Zishan Ahmed, 30, of Higgins Lane, Quinton
Noah Deen, 31 of Wood End Road, Birmingham
Sajid Hussain, 36, of Flackwell Road, Birmingham
Naqeeb Shakurt, 26, of Springcroft Road. Birmingham
Harun Shehzad, 29, of City Road, Birmingham
Sameer Ali Mohammed, 34, of Waterfront Way, Walsall
Tasaddaq Hussain, 54, of Northfield Crescent, Bingley
Imaan Hussain, 24, of Northfield Crescent, Bingley
Al-Harris Hussain, 29, of Thornbury Grove, Bingley
Harun Shehzad and Usaamah Bin Taariq pleaded guilty to conspiracy to defraud and money laundering before their trials.
During the course of their trial, Qirat Deeas, Sameer Ali Mohammed, Tasadaaq Hussain, Imann Hussain, Sajid Hussain, Usaamah Bin Tarriq, Noah Deen, Naqeeb Shakurt and Zishan Ahmed pleaded guilty to conspiracy to defraud and money laundering offences.
Ummer Yousaf was convicted after trial.
Al-Harris Hussain was convicted after trial for conspiracy to launder the proceeds of crime.
