Tag: Bounce Back Loans

Businesswoman jailed after raiding Covid support scheme five times to fraudulently claim over £216,000 

She fraudulently secured five Bounce Back Loans during the pandemic

  • Rupali Wagh fraudulently secured £216,250 in Bounce Back Loans for her four companies in 2020
  • The 50-year-old inflated turnover figures, obtained duplicate loans for some companies, and used funds to pay off personal debts and buy stocks and shares
  • Wagh was jailed for more than two years following investigations by the Insolvency Service

A fraudster who illegally obtained five Covid loans at the height of the pandemic has been jailed.

Cardiff-based Rupali Wagh fraudulently applied for £216,250 in Bounce Back Loans for her four companies between May and September 2020.

The 50-year-old inflated the turnover of her businesses to secure the loans and used some of the funds to buy stocks and shares.

She also obtained two loans for one of her companies when businesses were only entitled to a single loan.

Wagh, of Harrison Way, pleaded guilty to five counts of fraud when she appeared at Cardiff Crown Court in November 2025.

She was jailed for two years and three months when she appeared at Merthyr Tydfil Crown Court on Friday 17 July.

David Snasdell, Chief Investigator at the Insolvency Service, said: “Rupali Wagh systematically targeted a scheme designed to help genuine businesses survive the pandemic.

“She lied about her turnover, obtained duplicate loans for the same businesses, and used the funds to pay off personal debts and buy stocks and shares.

“When confronted with the evidence, Wagh initially tried to blame someone else before admitting she had acted alone.

“These are serious crimes and the Insolvency Service remains committed to bringing Covid fraudsters like Wagh to justice no matter how long it takes.”

Wagh’s first fraudulent application came in early May 2020, when she applied for a £16,250 Bounce Back Loan for One2Four Accounting Ltd, a bookkeeping services company she had set up in June 2018.

She declared the company had a turnover of £65,000 and said that the funds would be used wholly for business purposes.

In reality, the company’s turnover for the previous calendar year was just £39,000.

Within weeks of receiving the funds, Wagh transferred the money into her personal bank account and spent most of it paying off debts and purchasing stocks and shares.

The following month, Wagh applied for a £50,000 loan, the maximum allowed under the scheme, for Talensetu UK Ltd.

She claimed the business had a turnover of £218,000 when dormant accounts filed by the company for the period June 2019 to June 2020 showed it was not trading.

Within days of receiving the funds, Wagh transferred the entire £50,000 into her personal account and spent it on personal finance and stocks and shares. She also transferred more than £25,000 to an account in India.

Wagh applied for a second £50,000 Bounce Back Loan for Talensetu UK Ltd in July 2020, this time from a different bank.

She claimed a turnover of £225,000 despite having estimated the company’s turnover for the next calendar year as just £72,000 on the bank account application form she completed the same day.

Wagh also falsely declared this was the company’s only Bounce Back Loan application.

After receiving the funds in August, Wagh again transferred almost the entire amount into her personal account and spent it on stocks and shares and paying off personal finance.

Wagh followed this up with a fourth fraudulent application in August 2020, seeking £50,000 for White Coconut Ltd, which traded as an Indian street food outlet in Cardiff.

She claimed a turnover of £252,000, again contradicting the £72,000 estimate she provided on her bank account application.

Wagh falsely declared this was the company’s only Bounce Back Loan application, despite having already secured £18,000 from the bank for the same business three months earlier.

Her final fraudulent application came in late September 2020, when she applied for a £50,000 loan for Indian Canteen Ltd, a street food business incorporated only in January of that year.

Wagh claimed a turnover of £206,000, despite estimating on her bank account application that the company’s turnover for the next year would be just £82,000.

She later transferred more than £25,000 of the loan funds to White Coconut Ltd.

In interviews with the Insolvency Service, Wagh initially attempted to blame a third party for one of the loan applications, claiming someone sharing her computer had made the application without her knowledge. She later retracted this and acknowledged she had acted alone.

Wagh admitted using the funds to pay off personal credit card debts and loans, saying she thought that by clearing her personal debts she would be helping her businesses.

The Insolvency Service is seeking to recover the fraudulently obtained funds under the Proceeds of Crime Act 2002.

Building contractor sentenced for £50,000 Covid loan fraud

Florin-Petrica Bodale, who was a sole trader operating as a building contractor, exaggerated his turnover to obtain the maximum Bounce Back Loan

  • Florin-Petrica Bodale was a building contractor and sole trader, operating in Harrow.  
  • He claimed his business had a turnover of more than £200,000 to claim the maximum Covid Bounce Back loan.  
  • He was sentenced to 13-months imprisonment, suspended for 18 months, following a hearing at Snaresbrook Crown Court.  

A building contractor who fraudulently claimed a £50,000 Covid Bounce Back loan has received a 13-month suspended sentence.  

Florin-Petrica Bodale operated as a building contractor offering plumbing, heating and air-conditioning installation and was based in Harrow, London.  

In November 2020, the 34-year-old successfully applied to a bank for a Covid Bounce Back loan of £50,000.  

But an Insolvency Service investigation found that he had falsely claimed the company’s turnover was £240,000 to receive the maximum loan available.  

In reality, the turnover of the company was around £22,000 – meaning he was only entitled to £5,500. 

On 10 April 2025, at Snaresbrook Crown Court, Bodale was sentenced to 13-months imprisonment, suspended for 18 months, for one count of fraud by false representation.   

He was also ordered to complete 250 hours of unpaid work.  

Insolvency Service Chief Investigator David Snasdell said: “Florin-Petrica Bodale falsely claimed a much higher turnover for his business and the reality of this is a notable sentence on top of his earlier disqualification as a director.  

“These loans were intended to help keep small businesses afloat, not to take money from the public purse that businesses were not entitled to. 

“We will continue in our efforts to bring those who abuse this scheme to justice.”

In 2022, before the criminal investigation, Bodale signed a ten-year bankruptcy restriction undertaking which also included a ten-year director disqualification following a civil investigation by the Insolvency Service. 

The court noted that he had repaid some money as part of the bankruptcy process. 

Measures were introduced during 2020 to support businesses affected by COVID-19 such as loans, grants and tax allowances. The Bounce Back loan scheme helped small and medium-sized businesses to borrow between £2,000 and £50,000, at a low interest rate, guaranteed by the Government. 

The Bounce Back loans were made on the condition that they were not to be used for personal purposes, but could be used, for example, to purchase a company asset such as a vehicle, if it would provide an economic benefit to the business.  

Ban and tagging for directors who abused Bounce Back Loan scheme

Three businessmen each claimed the maximum £50k Bounce Back Loan and one dissolved his company to avoid repayment

Ivan Hristov Fratev, 57 and Bradley Malone, 57, both from London, and Ryan William Moir, 34, from East Sussex, have been banned from running businesses for a total of 26 years, after each separately claimed £50,000 for their companies in breach of the loan scheme’s rules.

Fratev was also given a 2-year suspended sentence with 4 months’ electronically tagged curfew, at Snaresbrook Crown Court on 23 June 2023, in addition to a 6-year ban, for dissolving his business after taking out the loan. The judge also included 15 days rehabilitation activity requirement (RAR) as part of his suspended sentence.

Fratev was the sole director of Chingford-based BI&F Ltd, which traded as a construction, security and extermination business from premises in Alpha Road. In May 2020 he applied for the maximum £50,000 Bounce Back Loan, designed to help businesses keep afloat through the pandemic.

But within two weeks of the money arriving in the company bank account, Fratev applied to dissolve BI&F Ltd, without informing the bank that had loaned him the money. Failure to notify creditors of plans to strike off a company is a criminal offence.

He was caught through powers granted to the Insolvency Service in December 2021, which allow it to investigate directors of dissolved companies who are suspected of closing their business to avoid repaying Covid-19 support loans.

Peter Fulham, Chief Investigator of the Criminal Investigation Team at the Insolvency Service said: “Covid-19 financial support schemes were funded from the public purse to support genuine businesses during the pandemic. Directors who abused the scheme have exploited taxpayers.

“This two-year suspended prison sentence, along with a curfew order and a 6-year disqualification, reflects the thoroughly dishonest conduct of Ivan Fratev and should serve as a warning to others who engaged in such behaviour.

“The Insolvency Service will act to remove directors who abused Bounce Back Loans from the business arena.”

In another case in London, Bradley Malone, the sole director of ONENETPRINT Ltd, a print business trading from Palmers Road in East London, applied for the maximum £50,000 Bounce Back Loan in June 2020, stating that his company’s previous year’s turnover was £200,000.

The Bounce Back Loan scheme allowed a business to borrow between £2,000 and up to 25% of the company turnover in calendar year 2019, with a maximum loan of £50,000.

The company went into liquidation in February 2022 owing the full amount of the loan, which triggered an investigation by the Insolvency Service.

Malone told investigators that, during the application process, he had merely clicked ‘next’ on his phone, and the money arrived within the hour. But investigators discovered that Malone had in fact overstated the company’s turnover for 2019 in the application, to claim the maximum £50,000 loan.

They found that the company’s actual turnover for that year had been around £90,200, meaning ONENETPRINT Ltd had received around £27,400 more than it was entitled to, under the rules of the scheme.

In a third case, Ryan Moir, sole director of East Sussex-based Croxton Group Ltd, which traded as a builder from Green Street industrial estate in Eastbourne, applied for the maximum £50,000 Bounce Back Loan on behalf of his company in May 2020. He stated on the application that Croxton Group Ltd’s turnover the previous year had been £250,000.

When the company went into liquidation in May 2022, it owed around £184,500, including more than £49,400 towards the Bounce Back Loan. An investigation by the Insolvency Service showed that the company’s 2019 turnover had in fact been less than £21,000, meaning that Croxton Group Ltd had received almost 10 times more than it had been entitled to under the rules of the scheme.

The company’s liquidators are taking action to recover the money.

Malone and Moir were both banned from being company directors for 10 years, after the Secretary of State for Business and Trade accepted disqualification undertakings from each director. Malone’s ban began on 17 July 2023, and Moir’s began on 19 July 2023. Fratev’s court-ordered 6-year disqualification started on 23 June 2023.

The bans prevent the former directors from becoming involved in the promotion, formation or management of a company, without the permission of the court. In addition to his ban and two-year suspended sentence, Fratev is also subject to 4 months’ electronically monitored curfew between 7pm and 7am, and was ordered to pay court costs of £500.

Glasgow Bounce Black Loan fraudster disqualified as company director

Brendan Michael Gaughan, 40, from Glasgow has been disqualified as a director for 12 years, after using his companies to take out Bounce Back Loans totalling £135,000 that the companies were not eligible for.

Gaughan was director of three separate property management companies, Gaughan Group Ltd, Gaughan Property Ltd, and Rentl Property Ltd. They were only incorporated in February 2020 and did no business until April 2020.

As a result, they were not eligible for funds through the Bounce Back Loan (BBL) scheme, which was available only to firms that had been doing business on 1 March 2020.

However in May 2020, Gaughan Group received a BBL of £50,000, Gaughan Property received a BBL also of £50,000, and Rentl Property Ltd received a BBL of £35,000.

Gaughan transferred all the funds into a single account and proceeded to use the money to buy a property worth nearly £160,000 in August 2020. He then sold the property in March 2021 for just over £140,000, and on the same day transferred £100,000 of the proceeds to his personal account.

All three companies were put into liquidation on 11 October 2021, which triggered an investigation by the Insolvency Service.

The Secretary of State accepted disqualification undertakings from Brendan Michael Gaughan, after he did not dispute that none of his companies had been eligible for Bounce Back Loans.

He has been banned for 12 years, effective from 27 October 2022.

The disqualification undertakings prevent him from directly, or indirectly, becoming involved in the promotion, formation or management of a company, without the permission of the court.

Steven McGinty, Investigation Manager at the Insolvency Service said: “Bounce Back Loans were made available for trading companies adversely affected by the pandemic.

“Brendan Gaughan should have known his companies weren’t entitled to the loans yet he took them anyway and used the funds for personal gain.

“We will not hesitate to take action against directors who have abused Covid-19 financial support like this.”

Brendan Michael Gaughan is of Glasgow and his date of birth is November 1982.

Gaughan Group Ltd – SC655799

Gaughan Property Ltd – SC655896

Rentl Property Ltd – SC655897

Disqualification undertakings are the administrative equivalent of a disqualification order but do not involve court proceedings.

Persons subject to a disqualification order are bound by a range of other restrictions.

Information about the work of the Insolvency Service, and how to complain about financial misconduct.

Former nurse disqualified as a company director for 10 years

Director of health and wellbeing company falsely claimed £30,000 Bounce Back Loan for personal gain during pandemic

Monica Coyle, 51, from Kilmarnock has been disqualified as a director for 10 years after fraudulently claiming a £30,000 government Bounce Back Loan (BBL).

Coyle, a former NHS nurse, was director of Positive Pulse Limited, a health and wellbeing company which provided health checks to employees of businesses. She had also been president of business and professional women’s group Ayrshire Business Women in 2019.

Coyle applied for the Bounce Back Loan in May 2020 after the Covid-19 pandemic impacted her business.

She falsely declared turnover of £130,000 in her application, rather than the actual turnover of her business, which was less than £5,000.

As a result, Coyle received a BBL of £30,000, of which she spent over £26,000 on personal use.

Bounce Back Loans were earmarked for small to medium sized companies impacted by Covid-19, and the loans were designed to support the company, rather than for the director’s own gain.

Positive Pulse Limited went into Creditors Voluntary Liquidation in February 2022, owing £30,000 to the bank, in respect of the BBL.

The Secretary of State accepted a disqualification undertaking from Monica Coyle, after she did not dispute that she caused the company to apply for, and receive, a BBL of £30,000 which the company was not entitled to, following which she received personal gain.

Her ban is effective from 16 September 2022 and will last for 10 years.

The disqualification undertaking prevents Monica Coyle from directly, or indirectly, becoming involved in the promotion, formation or management of a company, without the permission of the court.

Investigation Manager Steven McGinty said: ‘Bounce Back Loans were made for the economic benefit of the company, not for directors’ personal gain.

‘Monica Coyle exploited the scheme and took taxpayers’ money during the pandemic which she knew she was not entitled to.’

Small business Bounce Back Loans launch today

  • small businesses will be able to apply for quick and easy-to-access loans from today
  • businesses will be able to borrow between £2,000 and £50,000 with the cash arriving within days
  • loans will be 100% government backed for lenders, and businesses can apply online through a short and simple form

Thousands of small firms and sole traders – including high street staples like hairdressers, coffee shops and florists – will be eligible for 100% government-backed Bounce Back Loans to help them make it through the coronavirus outbreak.

From 9am this morning, small business owners can apply to accredited lenders by filling out a simple online form, with only seven questions.

The government has also agreed with lenders that an affordable flat rate of 2.5% interest will be charged on these loans. And any business that has already taken out a Coronavirus Business Interruption Loan of £50,000 or less can apply to have these switched over to this generous new scheme.

The Bounce Back Loan scheme is the latest step in a package of world-leading support measures launched by Chancellor Rishi Sunak – with £7.5 billion already awarded in business grants, 4 million jobs supported through the job retention scheme and generous tax deferrals supporting hundreds of thousands of firms.

The Chancellor of the Exchequer, Rishi Sunak, said: “Small businesses will play a key role creating jobs and securing economic growth as we recover from the Coronavirus pandemic.

“The Bounce Back loan scheme will make sure they get the finance they need – helping them bounce back and protect jobs.”

Business Secretary Alok Sharma (above) said: “We are backing small businesses, which are the backbone of our communities, with the support they need to stay afloat.

“This new scheme of 100% government-guaranteed loans gives owners of even the smallest businesses the confidence and flexibility to borrow a sum which works for them. This will help ensure they can continue to trade, and be a key part of our efforts to reboot the British economy.”

As part of the scheme, small businesses can borrow between £2,000 and £50,000. The government will provide lenders with a 100% guarantee and cover the cost of any fees and interest for the borrower for the first 12 months. No repayments will be due during this period to enable firms to get back on their feet.

The loans are available through a network of lenders, including the five largest banks.