Greedy Entrepreneur Jailed for £50k Covid Bounce Back Loan Scam
Gerald Smith, 69, has been slammed with 18 months behind bars for fraudulently grabbing a £50,000 Covid Bounce Back Loan. The businessman lied on his application, claiming he needed the cash for his firm – but spent it all on himself instead.
Fraud Uncovered by City of London Police
Smith’s dodgy loan stunt came to light after an investigation by the City of London Police and the Crown Prosecution Service (CPS). Not only did he pocket the £50,000 loan, but he also used some of the funds to clear a £22,000 court costs bill.
Authorities Condemn Smith’s ‘Greed and Manipulation’
Kevin Hansford, CPS: “Gerald Smith took advantage of a government system designed to protect and support businesses through the Covid pandemic. Rather than using the funds for legitimate business purposes, Smith diverted them for his own personal use and to fund a court costs order.
The CPS and investigative agencies will continue to pursue fraudsters who dishonestly enriched themselves from government support grants and loans.”
Detective Inspector Andrea Bakewell, City of London Police: “When many businesses were struggling to keep their head above water during the COVID pandemic, criminals were making use of the financial aid on offer.
Gerald Smith demonstrated an incredible amount of manipulation, conceit and greed as he exploited the bounce-back loan scheme offered by the government. This level of exploitation during one of the hardest periods this country has ever faced is something we will not tolerate.”
