BBC story on Bogus company formations

[IanSuth]

Wonder if this might lead to Companies House actually starting to check things ?

The leafy street in Leigh-on-Sea that 80 sham firms call home

Financial crime experts say "burner companies" are "most likely part of a criminal network".

www.bbc.co.uk

If you believed the paperwork, Henry Drive in Leigh-on-Sea, Essex, would be a thriving business metropolis specialising in the wholesale clothing market with entrepreneurs from across Europe choosing this leafy Essex street as their operations base.
But the paperwork cannot be trusted. In the past four months at least 80 bogus companies have been registered to properties on the street - 14 of them in the past week.

 

[Ozzy]

Not in any way quickly; here's a story I helped fund and connect the journalist to a number of sources for;

How Britain can help you get away with stealing millions: a five-step guide

The long read: Dirty money needs laundering if it’s to be of any use – and the UK is the best place in the world to do it

www.theguardian.com

I helped draft the public consultation to get to where we are now, but basically had to stop spending to clean it up as it was fast becoming a money pit.

Business Data Group | Robust UK

Robust UK Business Data Group’s role in helping to fight economic crime in the UK. Robust UK Championing increased integrity for the company formations industry. After a four-year wait, Business Data Group welcomed the Government’s announcement of the Economic Crime (Transparency and...

bdgroup.co.uk

 

[Karimbo]

I bumped into a dodgy old school friend. Got talking about business (i do ecommerce) and he started telling me he feels sorry for me because I have to pay taxes on everything

How business is such hard work now because taxes kill businesses. He told me about a scheme he was involved in. Basically he pays a criminal 10% of his takings to get all card payments under the table in cash.

They register a bogus ltd co. Set up payments to it. Then all their revenue are put through that ltd co. They are given a cashcard by the criminals and withdraw 90% of those takings in cash. Every year or so. they got and hand back their old card and payment machines and get given a new one (presumably with the new ltd co)

When he told me, I was really shocked but just amusing him just to get info how its done. He flashed his debit card as well which had the company name on it. I didn't want to be suspcious but I just glanced at the card and tried to keep the company name in my memory to look it up. But I forget it by the time I went on my way.

it just goes to show how much crookery goes on and it's a bit frustrating when you're doing all the right things, making more money for HMRC than you make for yourself. And they make it so easy for others to cheat the system.

ZERO checks on ltd co formations. Set up, run the business for 12+9 months and then just disappear and do it all over again. Come on.. have some checks before formation at least. Require a license or an accountant sign off or something. Jeez

 

[Ozzy]

ZERO checks on ltd co formations. Set up, run the business for 12+9 months and then just disappear and do it all over again.

Yep, happens all the time and those who do things by the book have to pick up the bill for the ones who don't. I'd like to imagine a utopia where everyone contributes fairly, then I wake up.

He flashed his debit card as well which had the company name on it.

I'd be more interested in who the bank is than the company.

 

[Karimbo]

Yep, happens all the time and those who do things by the book have to pick up the bill for the ones who don't. I'd like to imagine a utopia where everyone contributes fairly, then I wake up.

I'd be more interested in who the bank is than the company.

I cant recall what it was but it wasn't any bank i have heard of. and I know all the challenger banks.