Name: Farhan MEHMOOD

Name: FM It Solutions Limited

Date of Birth: 6 / 5 / 1984

Date Order Starts: 6 / 2 / 2024

Disqualification Length: 12 Years 0 Month(s)

CRO Number: 11863024

Last Known Address: 2 Newland Street,, , , , MANCHESTER,, M8 5RY

Conduct: Multiple BBL Applications Mr Farhan Mehmood ("Mr Mehmood") caused FM IT Solutions Ltd ("FM IT") to apply for a Government backed Bounce Back Loan with Bank A ("BBL1") on 16 May 2020 totalling £25,000 for which it was not eligible by including inaccurate information relating turnover. Thereafter BBL1 was paid into FM IT's bank account on 2 June 2020 and was not used in its entirety for the economic benefit of the business. Further, on 7 June 2020, Mr Mehmood caused FM IT to apply for a second Government backed Bounce Back Loan, with Bank B ("BBL2") totalling £21,000 for which it was not eligible by including inaccurate information within the application by not declaring that it had previously applied for and obtained BBL1, as well as including inaccurate information relating to turnover. Thereafter BBL2 was paid into FM IT's bank account on 10 June 2020 and was not used in its entirety for the economic benefit of the business. Further, on 23 August 2020, Mr Mehmood caused FM IT to apply for a third Government backed Bounce Back Loan, with Bank C ("BBL3") totalling £50,000 for which it was not eligible by including inaccurate information within the application by not declaring that it had previously applied for and obtained BBL1 and BBL2, as well as including inaccurate information relating to turnover. Thereafter BBL3 was paid into FM IT's bank account on 26 August 2020 and was not used in its entirety for the economic benefit of the business in that: Eligibility Turnover The BBL application scheme entitled businesses established prior to 1 January 2019 to apply for a BBL in the sum of up to 25% of its turnover in the calendar year 2019 (or, where a business was established after 1 January 2019, the estimated turnover from the date the business started). FM IT was incorporated on 5 March 2019 and commenced trading immediately. Mr Mehmood declared in the application for BBL1 that FM IT's turnover for calendar year 2019 totalled £110,000. FM IT subsequently received BBL1 totalling £25,000. Mr Mehmood declared in the application for BBL2 that FM IT's turnover for calendar year 2019 totalled £85,000. FM IT subsequently received BBL2 totalling £21,000. Mr Mehmood declared in the application for BBL3 that FM IT's turnover for calendar year 2019 totalled £200,000. FM IT subsequently received BBL3 totalling £50,000. FM IT's 2019/2020 tax return records a turnover of £14,250 and its bank statements show that in the period from the first account opening (20 March 2019) to 23 August 2020 (the date of the application for BBL3), FM IT received income of £20,154, equating, on a pro rata basis, to an annual turnover of £14,092. On this basis the level of annual turnover declared in the application for BBL1, BBL2 and BBL3 was significantly overstated. The maximum level of BBL to which FM IT was entitled was £3,523. Mr Mehmood has admitted overstating FM IT's turnover in order to acquire the three Bounce Back Loans. Therefore, FM IT acquired funds totalling £96,000 from Bank A, Bank B and Bank C to which FM IT was not entitled. Multiple BBLs The BBL scheme application provided that only one BBL could be obtained per business and required the applicant to declare that no other BBLs had been applied for or received. When applying for BBL2 and BBL3 with Bank B and Bank C respectively, Mr Mehmood would have been required to declare that the application was FM IT's only application for a BBL. When making the applications for BBL2 and BBL3, Mr Mehmood falsely declared that BBL2 and BBL3 were FM IT's only application for a BBL. Misuse of BBL funds The BBL scheme required the applicant to declare that the BBL funds would be used for the economic benefit of the business and not be used for personal benefit. Mr Mehmood misused the BBL funds contrary to the BBL scheme, in that: • Of BBL1 of £25,000, at least £24,228 was not used for the economic benefit of FM IT's business; • Of BBL2 of £21,000 at least £15,999 was not used for the economic benefit of FM IT's business; and • Of BBL3 of £50,000 at least £47,300 was not used for the economic benefit of FM IT's business. Bank A has confirmed that it is owed £25,494, Bank B has confirmed that it is owed £21,162 and Bank C has confirmed that it is owed £50,322 by FM IT. To date no repayments have been made towards any of the BBLs obtained. 

This information is correct as at 17 / 1 / 2024

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