Here are the details of this case.
On 05 June 2020, Foroogh Hasooni (“Ms Hasooni”) caused TOIP Limited (“TOIP”) to make a Bounce Back Loan (“BBL”) application of £50,000 when she knew or ought to have known that TOIP was not entitled to a loan of that amount.
Ms Hasooni made a wrongful declaration on the BBL application using an overestimated turnover figure of £250,000.
As a result, TOIP received more BBL funds than it was entitled to.
In that:
- The terms of the BBL Scheme stated that the company could apply for a loan of up to 25% of the Company’s turnover, from a minimum of £2,000, up to a maximum of £50,000.
- The turnover figure was self-certified by the applicant.
- The turnover figure required was that for the calendar year 2019 or where a business was established after 01 January 2019 it is the estimated turnover.
- TOIP was incorporated on 16 May 2019 and was therefore eligible to estimate turnover from the date that the business started.
- Analysis of TOIP’s bank statements suggest that between 31 January 2020 and 05 June 2020, TOIP had a turnover of £17,660.
- TOIP’s professionally prepared accounts for year ending 31 May 2020 and subsequently filed at Companies House showed that it was dormant.
- On 05 June 2020, Ms Hasooni applied for a BBL of £50,000 on behalf of TOIP.
- On the BBL application that Ms Hasooni signed, she stated TOIP’s estimated turnover as £250,000.
- On 08 June 2020, TOIP received a BBL of £50,000. TOIP’s professionally prepared accounts for year ending 31 May 2021 and subsequently filed at Companies House also showed that it was dormant.
- Ms Hasooni has failed to provide sufficient documentation to support the level of turnover claimed in the BBL application.
- Total liabilities at Liquidation amounted to £60,155.
- No repayments were made towards the BBL as and when due resulting in a £50,000 liability at Liquidation.
