Bosses at former estate agents Balmer Wilcock in Leigh have been banned for six years after a probe revealed creditors were owed £666,0000 at the time the firm entered administration.
Christopher Wilcock and Adam Balmer were found to have submitted false VAT returns between May 2016 and November 2017.
According to Bolton News, the collapse of the company “prompted” an inquiry by the Insolvency Service.
It found that six nil returns were claimed between 2016 and 2017, with the sum for June 2017 said to be £5,000 which were said to not be an accurate reflection of the company’s trading position. During that period, three payments adding to £16,000 was received by HMRC, resulting in a demand of £299,887 from the taxman.
An Insolvency Service official stated: “Between April 1, 2017, and July 18, 2018, when the current account was closed, net monies paid into this account totalled £1,442,235, while payments from the account totalled £1,483,702, of which at least £669,208 was paid to trade and expense creditors, £407,594 was paid for in respect of wages and £152,610.31 was paid to HMRC in respect of pay-as-you-earn and National Insurance contributions.”