- 2 November 2018
- Transport / Logistics Services
The former director of CFM Transport Ltd (CFMT), David Cooper, 55 from Blyth in Northumberland has been banned from being a director for 11 years.
Cooper was a HGV mechanic and driver for more than 30 years before he set up CFMT in the road haulage business in 2011.
According to a government statement, “The business grew and expanded into European markets and on advice, set up two further companies, CFM Cargo Logistics Ltd and CFM Continental Ltd. In early 2015, however, one of the company’s vehicles was involved in an accident abroad and while waiting for the insurance claim to be settled and the companies’ petroleum tax refund entitlements, Mr Cooper submitted false VAT claims in order to keep the companies afloat.”
The wrongdoing was discovered and faced with criminal proceedings for tax fraud, he ceased trading. The statement continued, “Following the end of the liquidation process, the Insolvency Service looked in to Mr Cooper’s role in the collapse of the companies. Those investigations revealed that Mr Cooper had knowingly created and submitted false returns in order to claim VAT to which the company was not entitled.”
His ban is effective from 29 October 2018 and lasts for 11 years.
Robert Clarke, Chief Investigator for the Insolvency Service, commented: “The public can be assured that where there have been abuses of public finance provisions which result in losses of this type, the Insolvency Service will investigate the conduct of the parties involved and take action to remove the privilege of limited liability trading for a lengthy period.
Directors have a firm duty to ensure they deal properly with tax matters and pay what is due. Mr Cooper has paid the price for failing to do that, as he cannot now carry on in business other than at his own risk.”