Father-Daughter Duo Nabbed for £65,000 COVID Loan Fraud in Merseyside
A Merseyside father and daughter have been slammed by the courts after raking in an extra £65,000 in COVID Bounce Back Loans – on top of the £75,000 they legitimately bagged for their car parts businesses.
Deegans’ Double Dip: Legit Loans, Then Fraudulent Claims
Catherine Deegan, 43, and Gerard Deegan, 65, initially secured proper loans of £25,000 and £50,000 for their firms, Bootle Cars & Commercials Limited and Bootle Car and Commercial Limited, back in May 2020.
But the pair didn’t stop there. They cheated the taxpayer by illegally claiming an extra £65,000 through multiple loan applications, fooling the COVID-19 loan scheme designed to help genuine small businesses.
Court Unleashes Suspended Jail and Director Ban
At Liverpool Crown Court, Catherine was found guilty of splashing loan cash on personal expenses, including caravan rent. She got 10 months’ prison time – suspended for 18 months – plus 150 hours of unpaid work.
Gerard scored a 16-month suspended sentence, a whopping 10-year ban from being a company director, and an 8-month electronically monitored curfew running 6pm to 6am.
Claire Entwistle, Assistant Director of Operations at the Insolvency Service, said: “Catherine and Gerard Deegan deliberately abused a scheme established to support small and medium-sized businesses during the pandemic. Both defendants showed complete disregard for the scheme, and this behaviour will not be tolerated.”
Fraud Details Exposed: Multiple Loans, Same Business
- Catherine snagged a £25,000 loan for new firm Bootle Cars & Commercials.
- She then took an unauthorised £15,000 loan from another bank.
- Catherine secured a legitimate £50,000 loan for Bootle Car and Commercial.
- Gerard followed up by applying for £50,000 more for the same company, despite knowing his daughter already had funding.
The court’s crackdown sends a stern warning to fraudsters attempting to cheat government schemes during tough times.
