Post by QPR Report on Nov 10, 2009 16:14:09 GMT
Chester Chronicle
Chester City FC: Stephen Vaughan disqualified from being company director for 11 years after alleged Widnes fraud
Nov 10 2009 By Alec Doyle
CHESTER City owner Stephen Vaughan has been disqualified from acting as a company director for 11 years following his involvement in an alleged VAT fraud at Widnes Vikings rugby league club.
Vaughan has signed a disqualification undertaking after enquiries by the Insolvency Service's Public Interest Unit into his conduct while a director of the Vikings.
Widnes Rugby League Football Club Limited entered into administration in October 2007 with liabilities of more than £1.6million.
According to the Insolvency Service the undertaking, which has only just been signed, contained details of alleged carousel fraud carried out by Vaughan, designed to prop up the finances of the club which was technically insolvent at the time.
A statement from the service says that Vaughan arranged for the club to purchase three consignments of clothing from a UK company and on the same day sold the clothing to a company based in Spain.
The transactions appeared to be part of a linked series of purchases between the UK and Europe.
He then attempted to reclaim VAT for the club, however Her Majesty's Revenue and Customs refused the repayment of the club's claim, the statement continued.
Payment for the goods was made via the First Curacao International Bank, based in the Dutch Antilles.
The bank was closed down by banking authorities when it was discovered that it provided banking facilities to a significant number of companies involved in carousel fraud.
The disqualification undertaking states that Vaughan caused Widnes Rugby League Football Club Limited to purchase clothing from a UK company, in three transactions worth a total of £2,877,228 plus VAT of £505,265.
The clothing goods were sold on the same days of purchase to a Spanish company for a total of £3,002,855. The three transactions took place in June 2006.
These transactions were carried out in a manner which involved Widnes in Missing Trader Intra Community (MITC) VAT fraud, also known as carousel fraud.
He caused these transactions to take place when he knew the club was insolvent.
Payment for the goods purchased was not made to the alleged supplier, but was instead made into a third party’s bank account in the Dutch Antilles.
Vaughan failed to inform the other directors of the club of these transactions and also failed to disclose to other directors a loan of £392,000 made to the club in August 2006.
The Official Receiver of the Service’s Public Interest Unit in Manchester, Ken Beasley, said: "Carousel VAT fraud is a serious offence which deprives the UK of billions of pounds of tax revenue each year, and the Insolvency Service will investigate any director of a company involved in such actions."
Vaughan's disqualification takes effect on November 25. It means he will be banned from acting as a company director, or in any way controlling a company, until November 24, 2020. If he breaches the undertaking he may be prosecuted.
www.chesterchronicle.co.uk/chester-city-fc/chester-city-fc-news/2009/11/10/chester-city-fc-stephen-vaughan-disqualified-from-being-company-director-for-11-years-after-alleged-widnes-fraud-59067-25135361/?
Chester City FC: Stephen Vaughan disqualified from being company director for 11 years after alleged Widnes fraud
Nov 10 2009 By Alec Doyle
CHESTER City owner Stephen Vaughan has been disqualified from acting as a company director for 11 years following his involvement in an alleged VAT fraud at Widnes Vikings rugby league club.
Vaughan has signed a disqualification undertaking after enquiries by the Insolvency Service's Public Interest Unit into his conduct while a director of the Vikings.
Widnes Rugby League Football Club Limited entered into administration in October 2007 with liabilities of more than £1.6million.
According to the Insolvency Service the undertaking, which has only just been signed, contained details of alleged carousel fraud carried out by Vaughan, designed to prop up the finances of the club which was technically insolvent at the time.
A statement from the service says that Vaughan arranged for the club to purchase three consignments of clothing from a UK company and on the same day sold the clothing to a company based in Spain.
The transactions appeared to be part of a linked series of purchases between the UK and Europe.
He then attempted to reclaim VAT for the club, however Her Majesty's Revenue and Customs refused the repayment of the club's claim, the statement continued.
Payment for the goods was made via the First Curacao International Bank, based in the Dutch Antilles.
The bank was closed down by banking authorities when it was discovered that it provided banking facilities to a significant number of companies involved in carousel fraud.
The disqualification undertaking states that Vaughan caused Widnes Rugby League Football Club Limited to purchase clothing from a UK company, in three transactions worth a total of £2,877,228 plus VAT of £505,265.
The clothing goods were sold on the same days of purchase to a Spanish company for a total of £3,002,855. The three transactions took place in June 2006.
These transactions were carried out in a manner which involved Widnes in Missing Trader Intra Community (MITC) VAT fraud, also known as carousel fraud.
He caused these transactions to take place when he knew the club was insolvent.
Payment for the goods purchased was not made to the alleged supplier, but was instead made into a third party’s bank account in the Dutch Antilles.
Vaughan failed to inform the other directors of the club of these transactions and also failed to disclose to other directors a loan of £392,000 made to the club in August 2006.
The Official Receiver of the Service’s Public Interest Unit in Manchester, Ken Beasley, said: "Carousel VAT fraud is a serious offence which deprives the UK of billions of pounds of tax revenue each year, and the Insolvency Service will investigate any director of a company involved in such actions."
Vaughan's disqualification takes effect on November 25. It means he will be banned from acting as a company director, or in any way controlling a company, until November 24, 2020. If he breaches the undertaking he may be prosecuted.
www.chesterchronicle.co.uk/chester-city-fc/chester-city-fc-news/2009/11/10/chester-city-fc-stephen-vaughan-disqualified-from-being-company-director-for-11-years-after-alleged-widnes-fraud-59067-25135361/?
