An Oldham man has been disqualified after he made false representations when applying for a Covid Bounce Back Loan from the government.
Abdul Salam was the director of a company called SLM Associates, when he applied for a Bounce Bank Loan.
Bounce Back Loans were introduced during the Covid pandemic as a way to help businesses struggling financially.
Companies could receive a loan of up to 25 per cent of their annual turnover for the 2019 calendar year, which the applicant would self-certify when they completed the application.
However, Mr Salam, of Dearnalay Way, Chadderton, made false representations on his application in order to receive a larger loan, according to the Insolvency Service.
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Case notes reveal on June 17, 2020, the 41-year-old applied for the loan and was obliged to use SLM's turnover for the full calendar year of 2019 to show how much it would be entitled to.
Mr Salam stated on the application that SLM's turnover during the calendar year of 2019 was £196,000.
However, bank statements showed the company's turnover for the year was in fact £71,185, meaning it should have only been entitled to £17,796.
Mr Salam's false representations meant that SLM, which was set up in June 2015, received £31,204 more than it should have.
As a result of his false representations, Mr Salam has been disqualified from being a company director for nine years, with the disqualification order starting on June 4.
SLM was liquidated after a winding-up order was issued in February 2023.
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