Abdulrazag Zagroba was sentenced to 24 months in prison on the 24 June of this year. He was sentenced for Bounce Back Loan (BBL) Fraud. This is the first successful criminal prosecution for this crime by the Insolvency Service. He was also disqualified as a director for 7 years.
The Insolvency Service stated ‘This represents a milestone and has been a long time in coming. Indicators are there will be many more. It also shows the powers that the Insolvency Service has at its disposal.’
Abdulrazag Zagroba took out a Bounce Back Loan for the value of £20,000. He took out this loan for his company, which was already in the process of being dissolved. Because of this, the sentencing represents such a milestone.
The £20,000 loan was used to:
- Arrange travel for friends in order to transport £14,000 in cash to his family in a different country.
- Pay for a car and the car insurance, which totalled £6,000.
About the author
Iain Bould
Iain heads Beeston Shenton’s commercial litigation department.
Iain has 30 years of experience in Commercial Debt Recovery and Insolvency fields having worked in both Private Practice and Industry. He has extensive experience working across all industry sectors and has a particular expertise in working with Insolvency Practitioners in advising and recovering outstanding insolvent company ledgers. Iain brings a pragmatic and commercial approach.
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