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Tip of the iceberg

HMRC makes first furlough fraud arrest


HMRC made its first coronavirus job retention scheme arrest this week after an investigation unearthed a suspected £495,000 fraud – but could this be just the tip of the iceberg?

10th Jul 2020
Editor AccountingWEB
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HMRC began clawing back fraudulent CJRS claims with the arrest of a Solihull man after officers executed a search warrant. As a result, computers have been seized, and funds held in a bank account relating to the 57-year-old man’s business have been frozen. 

HMRC has also confirmed that a further eight people across the West Midlands have been arrested as part of this investigation.

The alleged CJRS fraud was not the only the Solihull man’s only crime, his arrest also related to a suspected multi-million-pound VAT evasion and alleged money laundering offences.

Richard Las, acting director of HMRC’s fraud investigation service, said the tax department “will not hesitate to act on reports of abuse of the scheme”.  

He added, “This is taxpayer’s money and any claim that proves to be fraudulent limits our ability to support people and deprives public services of essential funding.”

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By SXGuy
14th Jul 2020 06:41

I'd hazard a guess and say this guy was on the radar for all the other fraud and just happend to have claimed furlough as well, which hmrc clawed back along with the rest. Title suggests it was a furlough raid when it probably wasn't.

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