Trustee in Bankruptcy is Assessing a Sole Traders Ability to Repay a BBL He Over-Egged His Turnover to Secure and Will Pursue For Recovery If He Has the Ability to Repay

The Government has just made public the finer details of the following case as part of their continued approach to scare those who may have blagged their way to getting a Bounce Back Loan.

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David Michael Godderidge (40), from Tamworth, falsely applied for £13,000 from the Bounce Back Loan scheme, intended to support businesses during the pandemic.

David Godderidge applied for his own bankruptcy in October 2021 and declared himself as a self-employed roofer.

While assessing David Godderidge’s assets to make payments to his creditors, the Official Receiver uncovered in September 2020 that he had provided incorrect information to obtain a Bounce Back Loan far greater than he was entitled to.

The self-employed roofer had instructed a third party to make the loan application on his behalf using inflated turnover figures before spending the £13,000 Bounce Back Loan on gambling in just 3 weeks.

Due to the risk he posed to other creditors, the Official Receiver sought to extend David Godderidge’s bankruptcy restrictions.

His bankruptcy undertaking extends his restrictions for 7 years and means he is limited to what credit he can access, and he cannot act as a company director without the permission of the court.

The Trustee in bankruptcy is assessing David Godderidge’s abilities to repay the funds and will pursue if they have the means.