Santander £50k Bounce Back Loan Turns Sour After a Company Director Over-Egged Her Business Turnover to Get That BBL and Leaves it Unpaid to Which She Has Been Given a 9 Year Ban

January 31, 2023 The Disqualification Files, Todays News

BBL Helpline

Here is another case of over-egging turnover to blag a higher valued Bounce Back Loan than a company was entitled to, which resulted in a 9 year ban.

On 18 May 2020, Aeda Shaheen Butt (“Mrs Butt”) caused Aeda’s Angels Limited (“Aeda’s”) to obtain a Bounce Back Loan “BBL” of £50,000 using an overstated turnover figure on the BBL application form, when she knew or ought to have known the maximum BBL Aeda’s was entitled to was £24,761.

In that:

  • A business could apply for a loan of between £2,000 and £50,000 subject to a maximum of up to 25% of turnover in calendar year 2019.
  • Credits in to Aeda’s bank account show turnover of £100,958 for the calendar year 2019.
  • On 18 May 2020, she caused Aeda’s to obtain a BBL of £50,000 by overstating Aeda’s turnover as £225,000 on the BBL application form.
  • Based on the turnover figure of £100,958, she knew or ought to have known that the maximum BBL Aeda’s was entitled to was £24,761.

On 1 March 2022, Aeda’s entered into creditors voluntary liquidation with liabilities of £101,000, £50,000 of which was owed in respect of the BBL.