A Romford-based builder who fraudulently claimed tens of thousands of pounds through the UK’s Covid-19 Bounce Back Loan Scheme has agreed to repay the money following action by the Insolvency Service.
Ioan Marcu, 38, of Lindfield Road, Romford, has signed a legal compensation undertaking to repay £38,549 after he was found to have significantly overstated his company’s turnover to secure a £50,000 loan in 2020—far more than the £11,451 his firm was legitimately entitled to.
Marcu, the sole director of Imbusi Ltd, applied for the maximum £50,000 loan under the scheme by falsely claiming the business had a turnover of £280,000. An investigation by the Insolvency Service later revealed the actual turnover was considerably lower, and the company ultimately collapsed into liquidation in July 2022 with liabilities exceeding £63,000.
Disqualification and Repayment Order
Following these findings, Marcu was disqualified as a company director for 10 years in January 2025 for Covid loan misconduct. Now, under the terms of the compensation agreement accepted by the Secretary of State for Business and Trade on 24 April, he has agreed to repay the misappropriated funds in monthly instalments.
Ann Oliver, Chief Investigator at the Insolvency Service, said:
“Ioan Marcu significantly overstated his company’s turnover in order to receive the maximum amount of money businesses were entitled to under the Bounce Back Loan Scheme.
This was clearly an inaccurate declaration which has resulted in him being banned as a director until the start of 2035.”
The agreement legally compels Marcu to repay public funds that were improperly obtained, reinforcing the government’s stance on recovering taxpayer money from fraudulent Covid loan claims.
The Bounce Back Loan Scheme in Focus
The Bounce Back Loan Scheme (BBLS) was launched during the pandemic to support small businesses struggling with lost revenue. However, the scheme has faced widespread criticism for vulnerability to fraud, leading to a wave of post-pandemic investigations.
The Insolvency Service continues to pursue recovery action and disqualification proceedings against individuals and businesses who misused Covid relief funds.
What Happens Next?
Under the terms of his disqualification, Marcu is barred from acting in any capacity as a company director or being involved in the promotion, formation, or management of a business without court permission until 2035.
For more details on this and similar cases, visit the Insolvency Service or Gov.uk business enforcement updates.
