Richard Milne, 44, from Kingston-upon-Thames, was director of Langshot Ltd, a small consultancy incorporated in 2016.
He applied for a £30,000 Bounce Back Loan on behalf of the company in May 2020 despite the company accounts showing annual turnover of around £50,000. The maximum the company was eligible to claim under the scheme was just under £13,000.
The company received a £30,000 Bounce Back Loan and Milne spent nearly £8,000 on personal expenditure, in clear breach of the loan terms which required Bounce Back Loans to only be used for legitimate business use.
Langshot was placed in voluntary liquidation in March 2021before the liquidator passed on concerns regarding Milne's conduct to the Insolvency Service for further investigation.
At the point of liquidation, the company director loan account was overdrawn by just over £30,000 and Milne has agreed to a repayment schedule of £650 per month to the liquidator.
The Secretary of State for Business, Energy and Industrial Strategy accepted a disqualification undertaking from Richard Milne after he admitted applying for a larger Bounce Back Loan than the company was entitled to, and using some of the money for personal expenditure.
His ban runs from 25 May 2022 and lasts for eight years.
Dave Elliott, Chief Investigator at The Insolvency Service said:
Richard Milne's disqualification should act as a deterrent to others who think they can profit by obtaining funds to which they are not entitled.
We will not hesitate to take action against directors who have abused Covid-19 financial support, and ultimately the taxpayer.
Notes
Richard Peter Milne is of Kingston-upon-Thames and his date of birth is August 1977.
Langshot Limited (Company number 09984263).
A disqualification order has the effect that without specific permission of a court, a person with a disqualification cannot:
- act as a director of a company
- take part, directly or indirectly, in the promotion, formation or management of a company or limited liability partnership
- be a receiver of a company's property
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.
