Case details for MIHAIL CUROS

Name: MIHAIL CUROS

Name: MAGNOLIA-05 LTD

Date of Birth: 14 / 7 / 1985

Date Order Starts: 11 / 1 / 2023

Disqualification Length: 11 Years 0 Month(s)

CRO Number: 12689794

Last Known Address: 156 Havering Road, , , , ROMFORD, RM1 4RD

Conduct: On 28 September 2020 Mihail CUROS (Mr Curos) caused Magnolia 05 Ltd (Magnolia) to breach the conditions of the Bounce Back Loan (BBL) Scheme by obtaining a £50,000 BBL that Magnolia was not entitled to, by providing false information as to the trading of the company as at March 2020 when the company was not incorporated at such date and subsequently failed to evidence that the BBL funds were used for the economic benefit of Magnolia. In that: Mr Curos is the sole director of Magnolia The BBL Scheme allowed a business to apply for a loan of between £2,000 and £50,000 subject to a maximum of up to 25% of turnover in the calendar year 2019. The terms of the BBL scheme were that a company incorporated after 01 January 2019 could base an application for a BBL on estimated annual turnover but conditional that the company was trading on 01 March 2020. Magnolia was not trading at that date so was not entitled to apply for a BBL. BBL Scheme conditions also stated that for a business to apply for a loan, the turnover figure, even if self-certified by the applicant with no checks or evidence required, could not be over-estimated by more than 25% in order to obtain a larger loan. Bounce Back Loan Scheme conditions state that funds are to be used for the economic benefit of the business Magnolia was incorporated on 22 June 2020 The first activity in Magnolia’s Bank account was on 14 August 2020 On 24 September 2020 Mr Curos signed and dated a BBL application with a financial institution, in which by signing he declared ‘I/We confirm that my/our business was carrying on its business on 1 March 2020, that I was/ we were engaged in trading or commercial activity in the United Kingdom as at the date of this application and the business has been adversely impacted by COVID-19. On 28 September 2020 BBL funds of £50,000 was credited into Magnolia’s bank account. Between 29 September 2020 and 12 March 2021 a total of £53,200 was transferred to Mr Curos’ personal account from Magnolia’s bank account. Mr Curos has stated this was not for the economic benefit of Magnolia. At the date of the Liquidation on 28 October 2021, a total of £50,864 was owed to creditors, of which £50,000 was the bounce back loan and £864 was owed to HMRC. From 22 June 2020 when Magnolia was incorporated until liquidation, Mr Curos failed to ensure that Magnolia maintained or preserved adequate accounting records or in the alternative failed to deliver up such records to the liquidator. In the absence of any account accounting records delivered up to the Liquidator it has not been possible to; Verify the quantum of Mr Curos’ director loan account Establish the dates of and sources of credits totalling £27,346 shown in Magnolia’s bank statements between the account opening on 14 August 2020 and 29 April 2021 Establish the dates and purposes of the debits totalling £77,333 shown in Magnolia’s bank account and if the withdrawals were for the economic benefit of the company. Verify the true asset position of the company at liquidation as declared as Nil on the statement of affairs signed by Mr Curos on 18 October 2021. Verify the true deficiency of the company at liquidation as the statement of affairs signed by Mr Curos on 18 October 2021 stated there being only two creditors totalling £50,864. 

This information is correct as at 22 / 12 / 2022



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