fb

Not the brightest fraudster

Not the brightest fraudster

There are clever frauds and there are not so clever frauds.

Both are morally wrong but this gentleman’s attempt at fraud clearly showed that he wasn’t the brightest individual. It’s also resulted in him receiving an 8 year jail sentence.

Mohammed Shareef from Harrow in the UK ran a number of ice-cream shops and thought that an easy way to fraudulently obtain money was via his VAT affairs.

If somebody is registered for VAT they have to charge VAT on their sales but they can offset any VAT on eligible expenses. If the VAT on their sales is greater than the VAT on their purchases, they pay the balance to the tax authorities. If VAT on their sales is less than the VAT on their purchases, they can reclaim the excess VAT suffered from the tax authorities.

This is where Mr Shareef’s grand plan originated.

His plan was to submit false VAT repayment claims and to do so he needed some false VAT expenses.

Mr Shareef’s plan went to his head though as instead of small amounts, he submitted false VAT repayment claims amounting to £1,669,463 over a number of years.

These claims came to the attention of the authorities and they investigated the expenses. They found that Mr Shareef clearly didn’t have the greatest criminal mind in history.

Ignoring the shops he actually owned, he instead submitted invoices for shops that didn’t even exist.

He also claimed he had no knowledge of certain documents but they were all found on his computer and investigators proved he was the author of the documents.

He also created fake bank statements but these statements were obviously fake as they had spelling errors in them. He also had fake 2012 statements where he had mistakenly put transactions in with a date of 2011.

He was found guilty of cheating the public revenue and sentenced to 8 years in jail.

Share this entry

Related articles

View All Articles

Recent articles

View All Articles
McDonald’s and Ansoff
Dec 07, 2023
Title
McDonald’s and Ansoff
Excerpt

McDonald’s, the global fast-food giant, is once again making headlines with its innovative venture into the coffee market. […]

Age and Leadership: The EY Succession Debate
Nov 14, 2023
Title
Age and Leadership: The EY Succession Debate
Excerpt

As business students, we often study leadership transitions in major corporations to understand the dynamics at play and […]

Which professional qualification is for you?
Nov 06, 2023
Title
Which professional qualification is for you?
Excerpt

Navigating the world of professional business qualifications can be a daunting task for business students. It’s crucial to […]

Deloitte’s $1.59 million fine for backdating audit workpapers
Nov 02, 2023
Title
Deloitte’s $1.59 million fine for backdating audit workpapers
Excerpt

In the world of accounting and auditing, maintaining the highest standards of ethics and professionalism is paramount. However, […]

Famous accountants, but not for accounting…
Oct 13, 2023
Title
Famous accountants, but not for accounting…
Excerpt

Accounting, often called the “language of business”, has served as a foundational skillset for many who’ve achieved greatness […]

IPOs explained: a look at Birkenstock’s Debut
Oct 12, 2023
Title
IPOs explained: a look at Birkenstock’s Debut
Excerpt

The world of stock markets, shares, and public offerings can be daunting, but understanding these processes is crucial […]

PwC Australia and the “Rule of Three”
Sep 21, 2023
Title
PwC Australia and the “Rule of Three”
Excerpt

As the future business leaders of tomorrow, it’s crucial for students to stay updated on key developments in […]

CIMA VS ACCA: which is best for you? (and what about CMA?)
Sep 15, 2023
Title
CIMA VS ACCA: which is best for you? (and what about CMA?)
Excerpt

When it comes to a career in accounting or finance, deciding which professional qualification to pursue can be […]