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Taxi driver Nelson Clark dishonestly secured three Covid Bounce Back Loans worth a combined £130,000
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Clark fraudulently overstated his turnover on the applications and failed to use the money for his businesses as he was required to do
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The 34-year-old has been jailed following investigations into his applications by the Insolvency Service
A Kent taxi driver has been jailed after exploiting a government-backed Covid loan scheme on three separate occasions during the pandemic.
Nelson Clark fraudulently applied for three Bounce Back Loans in 2020 by significantly exaggerating his turnover.
He then used the funds for personal use, breaking the rules of the scheme again.
Clark, 34, of Silver Birch Close, Dartford, was sentenced to two-and-a-half years in prison when he appeared at Croydon Crown Court on Thursday 13 March.
David Snasdell, Chief Investigator at the Insolvency Service, said
Nelson Clark deliberately targeted a scheme which was set up to support genuine small businesses through Covid.
Clark made false representations on not just one occasion, but three times within a two-month period. His actions were clearly dishonest and he made matters worse by spending the money he received for his own personal benefit.
Five years on from the start of the pandemic, the Insolvency Service remains committed to taking action against the fraudsters who cynically applied for money they were not entitled to during a national emergency.
Clark first applied to the bank for a £30,000 Bounce Back Loan in May 2020 on behalf of his N Clark Taxis business.
In the application, Clark claimed his annual turnover was £120,000. But Insolvency Service analysis revealed this was an over-estimate of around £70,000.
Two months later, Clark dishonestly secured a further £100,000 in Bounce Back Loan funds from different banks under the names of Nelson Clark Management and Rosewood Motors.
In both applications, Clark obtained £50,000 by falsely claiming his turnover for both businesses was £200,000 each.
Significant amounts of the £130,000 Clark fraudulently secured were used for personal purposes, including transfers of £80,000 to a third party.
Clark was declared bankrupt in August 2021 and signed a 10-year Bankruptcy Restrictions Undertaking in March 2022, restricting him from being able to borrow more than £500 without disclosing his bankrupt status.
The Insolvency Service is seeking to recover the fraudulently obtained funds under the Proceeds of Crime Act 2002.
