OAP fraudster led gang which tried to steal more than £1m in tax

Stoke Poges resident John Faraday will be sentenced one week before Christmas after he admitted his part in a cage fighting broadcasting scam.

The nationwide gang, led by Faraday and Christopher Peters from Swansea, had hijacked five identities and set up eight fake companies in a bid to fraudulently reclaim more than £1 million in VAT repayments.

They had received £353,361.51 when the scam was uncovered.

The gang produced bogus invoices and contracts between the companies, buying and selling television broadcast rights, in order to generate fraudulent VAT repayments.

Between October 2010 and September 2012 the group “piggy-backed” genuine cage fighting events, producing promotional material and using the names of well-known fighters, to enhance their business credibility.

An investigation by HM Revenue and Customs (HMRC) unravelled the scam and identified the criminals behind it.

Anthony Swarbrick, assistant director for the fraud investigation service, HMRC, said: “This was a fraud driven purely by greed with the single aim of stuffing their pockets with cash that should have been spent on vital public services.

“No cage fights or broadcasts ever took place and no payments were ever made between the companies. It was a complete sham with the sole purpose of stealing from the taxpayer.

“This gang went to great lengths to deceive tax inspectors and cover up their crime, but ultimately their fraud was unpicked and they are paying the price.

“We will now look to strip them of their criminal gains, and the message is clear - tax fraud doesn’t pay.”

Faraday was due in court today after pleading guilty in September. His case was adjourned and he is expected to appear at Blackfriars Crown Court on December 18.

Six other men from across the country have also been convicted for their part in the scam.

Confiscation proceedings are understood to be underway to recoup the proceeds of their criminal activity.