A BUSINESSMAN described by a judge as "incredibly dishonest" has been handed a suspended jail sentence for trying to steal more than £130,000 by making fraudulent VAT claims.
William Ludlam, 27, of Birchover, was previously a director of MI Leisure Limited, which operated pubs and restaurants in Derby, Ashbourne, Chesterfield, Burton and Sheffield.
Derby Crown Court heard yesterday that an investigation by HM Revenue and Customs into the business's VAT returns found that, between 2010 and 2011, Ludlam made false VAT repayment claims totalling £130,287.
He submitted fake invoices and paperwork claiming that the company was refurbishing properties and under-declared sales income from the business to avoid paying VAT.
Ludlam also made false VAT repayment claims of more than £30,000 for his motor accessories business, William Ludlam Ltd.
He lied to HMRC and submitted fake paperwork to legitimise his fraud attempts. He claimed VAT repayments for property refurbishment but could not prove the work had been done and falsified a number of invoices when challenged by HMRC.
HMRC paid around £19,000 to MI Leisure Ltd but blocked other claims and began a criminal investigation into Ludlam's business affairs.
Ludlam was yesterday handed a 12-month prison term, suspended for 18 months, and banned from directorship for five years. He also has to carry out 250 hours of unpaid work in the community. He admitted eight counts of VAT fraud.
Sentencing him, Judge John Burgess said: "It is apparent that you are incredibly dishonest. Your record shows that you are a chancer, a conman and are not to be trusted. You have grand ideas based on little except an amount of charm and HMRC have suffered because of your actions and because the companies were run badly.
"I am giving you a chance to prove you have changed. You are very fortunate, don't waste this opportunity."
Stuart Taylor, assistant director, criminal investigation, at HMRC, said: "Abuse of the tax system to line your own pockets will not be tolerated. Today's sentence should serve as a stern reminder that we will tackle tax fraud in all its guises on behalf of the taxpayer to secure and protect public finances."
