Case details for PAUL SKITT

Name: PAUL SKITT

Name: The Pub And Carvery Co Ltd

Date of Birth: 14 / 8 / 1958

Date Order Starts: 16 / 11 / 2023

Disqualification Length: 11 Years 0 Month(s)

CRO Number: 10542733

Last Known Address: Park Lane Tavern,, Park Lane,, West Midlands,, , HALESOWEN,, B63 2NT

Conduct: The Pub And Carvery Co Ltd Mr Paul Skitt (Mr Skitt) caused The Pub and Carvery Co Ltd (PCC) to apply for 2 Government-backed Bounce Back Loans (BBL) contrary to the terms of the BBL scheme. As a result PCC received at least 50,000 to which it was not entitled. Further, he has failed to provide evidence that the proceeds of BBL1 were used in their entirety for the economic benefit of the business, as required under the terms of the BBL scheme. In that: The BBL scheme permitted one loan of up to 25% of a business turnover in the calendar year 2019, or estimated turnover if it had been established after 01 January 2019. On 11 September 2020 Mr Skitt made an application to Bank A on behalf of PCC for a BBL (BBL1) of 50,000 and stated that PCCs turnover in 2019 was 525,000. On 22 December 2020 Mr Skitt made an application to Bank B on behalf of PCC for a BBL (BBL2) of 50,000 and stated that PCCs turnover in 2019 was 575,000. In the application to Bank B dated 22 December 2020 Mr Skitt made a false signed declaration that: I/We confirm that this is my/our only application for a Bounce Back Loan for this business, and I am/we are not part of a wider group which has already received a Bounce Back Loan. As a result of the duplicate application PCC received a second BBL of 50,000 to which it was not entitled. Disbursal of BBL1 Immediately before the receipt of BBL1 the bank account held with Bank A had a balance of 44.70. On 5 October 2020 50,000 of BBL1 was paid into PCCs account with Bank A By 06 January 2021 (prior to receipt of BBL2) the balance on the Bank A account stood at 2,613.19. In the period between 06 October 2020 and 06 January 2021 PCC received total income of 85,238.29, made up as follows: BBL 50,000.00 Sales income 20,727.39 Council Support 7,001.00 Associated Companies 7,510.00 From that income, PCC made payments amounting to 82,669.90, made up as follows: Associated companies 51,761.00 Trade 25,162.90 Director 3,250.00 Cash 1,496.00 Other 1,000.00 The payment of 51,761 to associated companies relied on funding of at least 16,522.61 from BBL1. No documents have been provided to evidence that the payments to associated companies were for the economic benefit of the business. At the liquidation date the full amount of the BBL remains outstanding. Mr Skitt failed to ensure that PCC maintained and/or preserved adequate accounting records or alternatively Mr Skitt failed to deliver up adequate accounting records to the Liquidator. In that: PCC filed dormant prepared accounts at Companies House for the years ended 31 December 2017,2018 and 2019 Mr Skitt has subsequently stated that dormant accounts were filed in error and that the company was trading during some or all of those periods. The Liquidator has confirmed that no accounting records have been delivered up despite requests to do so. On 05 March 2023 PCCs former accountants confirmed that they had been contacted by Mr Skitt to rectify the filed accounts but that they held none of PCCs records. In the absence of adequate records it has not been possible to verify: PCCs cause of failure The level of PCCs assets and liabilities at liquidation. The date when PCC commenced to trade. PCCs total turnover throughout its trading period. The financial position in respect of intercompany trading. Whether PCCs turnover made it eligible for the BBL funding that it obtained. Whether payments amounting to 401,784.77 paid out of PCCs bank accounts between 10 June 2019 and Liquidation relate to bona fide business expenses Whether receipts amounting to 400,468.79 paid into PCCs bank account between 10 June2019 and Liquidation constitute PCCs total income in that period. Whether Eat out to help out (EOTHO) payments amounting to 20,176 received from HMRC were appropriate. NW Carvery Ltd Mr Paul Skitt (Mr Skitt) has failed to evidence that the proceeds of a Government backed Bounce back Loan (BBL) applied for and obtained for NW Carvery Ltd (NWC) were used in their entirety for the economic benefit of the business, contrary to the terms of the BBL scheme. In that: NWC was incorporated on 31 January 2018; On 11 May 2020 Mr Skitt applied for a BBL of 50,000 and stated that NWCs turnover in 2019 was 520,000. Disbursal of the BBL Immediately before the receipt of the BBL the bank account had a balance of 6,275.00. On 14 May 2020 50,000 of the BBL was paid into NWCs account. By 3 August 2020, when the BBL proceeds had been spent, the balance on the account stood at 5,224.21. In the period between 14 May 2020 and 3 August 2020 NWC received no other income. During the same period, NWC made payments amounting to 51,021.41, including the following: P Skitt 6,000.00 Cash 2,350.99 Credit cards 3,454.05 Third parties 11,550.00 At least 17,080.04 of these highlighted payments were funded from the BBL proceeds. No documents have been provided to evidence that any of these highlighted payments were for the economic benefit of the business. At the liquidation date the full amount of the BBL remains outstanding. Mr Skitt has failed to ensure that NWC maintained and/or preserved adequate accounting records, or in the alternative, has failed to deliver up such records as were maintained to the Liquidator in that. NWC filed dormant prepared accounts at Companies House for the years ended 31 January 2019 and 31 January 2020 Mr Skitt has subsequently stated that dormant accounts were filed in error and that the company was trading during some or all of those periods. The Liquidator has confirmed that no accounting records have been delivered up despite requests to do so. On 05 March 2023 NWCs former accountants confirmed that they had been contacted by Mr Skitt to rectify the filed accounts and accordingly provided a copy of draft accounts for the period ended 31 January 2020 which had not been verified by Mr Skitt. In the absence of adequate records it has not been possible to verify: NWCs cause of failure The level of NWCs assets and liabilities at liquidation. The date when NWC commenced to trade. NWCs total turnover throughout its trading period. The financial position in respect of intercompany trading. Whether NWCs turnover made it eligible for the BBL funding that it obtained. Whether payments made from NWCs bank account between 04 May 2020 and Liquidation relate to bona fide business expenses Whether receipts paid into NWCs bank account between 04 May 2020 and Liquidation constitute NWCs total income in that period. 

This information is correct as at 27 / 10 / 2023



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