It is very positive to see the Insolvency Service taking action to wind up businesses that have fraudulently claimed COVID-19 support. Especially as we’ve heard of lots of companies last year taking financial support and then winding up their businesses thinking that’s a failsafe scam to get free money!
These scammers need to beware as NEW POWERS are coming which will enable the Insolvency Service to investigate dissolved companies, so they are not safe. If wrongdoing or malpractice is found, directors can face sanctions including a ban of up to 15 years, and potentially criminal prosecution.
The relevant powers aren’t yet in place, they’re currently before parliament and it’s almost inevitable they will be passed.