Case details for Shuhel Kadir Chowdhury

Name: Shuhel Kadir Chowdhury

Name: CITYROAD TRADING LIMITED

Date of Birth: 1 / 8 / 1968

Date Order Starts: 4 / 7 / 2019

Disqualification Length: 6 Years 0 Month(s)

CRO Number: 09093564

Last Known Address: 15 Royal Park Parade, , , , CHISLEHURST, BR7 6NR

Conduct: Shuhel Kadir Chowdhury (“Mr Chowdhury”) failed to ensure throughout that Cityroad Trading Limited (“Cityroad”) complied with its statutory obligations to make payment in full and when due to HMRC, and traded Cityroad to the detriment of HMRC from 22 February 2015 in respect of PAYE/NIC and 07 May 2016 in respect of VAT. As a consequence HMRC suffered a loss of £144,277 in the liquidation: VAT

  • Cityroad commenced to trade in June 2014 and was registered for VAT as from 1 March 2015. Its first VAT return to 31 March 2015 (VAT period 03/15) was due to be filed and paid in full by 7 May 2015. The return was not submitted until 28 July 2015 and no payment was made until 21 September 2015, when £500 was paid on account of the declared liability of £1,287.38.
  • VAT returns were submitted for return periods 06/15 to 03/17 disclosing a total liability of £109,559.48. In the absence of returns for periods 06/17 and 09/17 HMRC raised assessments totalling £35,383 together with an assessment of £7,167 for the final period of trading from 1 October 2017. Including surcharges of £15,691.99 Cityroad incurred a liability of £167,801.47 to HMRC during its period of trading.
  • Cityroad failed to settle any VAT liabilities by the due dates, rather a series of payments were made between 21 September 2015 and 29 September 2017 totalling £55,299.91, which were insufficient to settle the liabilities due. Cityroad consequently became increasingly indebted to HMRC who have claimed £112,501 in the liquidation in respect of VAT. PAYE/NIC
  • RTI returns in respect of PAYE and national insurance contributions (“NICs”) due were submitted for the tax years 2014/2015, 2015/2016, 2016/2017 and 2017/2018 declaring liabilities totalling £46,150. Payment on account of the declared liabilities were due to be paid on a monthly basis from 22 February 2015 onwards. No payment was made until HMRC received £350 on 14 June 2016.
  • Cityroad failed throughout to settle any of its PAYE/NIC liabilities by the due dates, rather a series of round sum payments totalling £7,150 were made between 14 June 2016 and 29 September 2017, which were insufficient to settle the liabilities due.
  • Taking account of the allowances due to Cityroad in respect of employers’ NICs, at the Liquidation HMRC have claimed £29,896.81 in the liquidation. Corporation tax
  • Cityroad’s financial statements to 30 June 2015 record a liability to corporation tax of £1,566.60 that was payable no later than 1 April 2016. No payment was made on account of this liability.
  • Cityroad’s financial statements to 30 June 2016 record a liability to corporation tax of £7,836 that was payable no later than 1 April 2017. No payment was made on account of this liability. Differing treatment of HMRC
  • Cityroad’s financial statements record sales (excluding output VAT) of £722,890 for the years 30 June 2015 and 30 June 2016. The bank statements for the period from 1 July 2016 to the liquidation record income of £637,000. Of Cityroad’s income in excess of £1.35 million receivable during its period of trading, just £62,650 was paid to HMRC.
  • Cityroad’s financial statements for the years to 30 June 2015 and 30 June 2016 record director’s remuneration totalling £22,500 and dividends paid of £45,000. The bank statements for the period from 1 July 2016 record net payments to him of £75,538.
  • Including penalties and interest HMRC have claimed £144,277 in the liquidation whilst other creditors were recorded as due £87,688. 2. He failed to ensure that Cityroad maintained and/or preserved adequate accounting records for the period from 1 July 2016 to the liquidation or he failed to deliver up such records to the Liquidator. As a consequence it is not possible to determine:
  • The purpose of cash drawings totalling £87,892.
  • The extent of any cash takings received by Cityroad or how such takings are to be accounted for.
  • The purpose of cheque payments totalling £52,425 drawn in the period from 20 March 2017 for which no supporting documentation has been provided.
  • The purpose of payments made to him of £171,565 or of receipts from him of £96,027. 

    This information is correct as at 13 / 6 / 2019



    If you believe this page contains any errors, please email civil.proceedings.team@insolvency.gov.uk with details of the error that you have found.

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