A boss from Bolton whose company received a £50,000 government loan stated her firm's annual turnover was £200,000 - despite it only being £354. 1SR Limited, listed as a vehicle rental company, which was incorporated in March 2018, received the £50,000 figure it was not entitled to from the government's bounce back loan (BBL) scheme. The BBL was launched in 2020 to help smaller businesses survive during the pandemic.
It allowed them to borrow between £2,000 and £50,000 at low interest rates, which would be guaranteed by the government, to support them through the lockdown periods. But the rules said businesses could apply for a loan that was subject to a maximum of up to 25 per cent of their turnover. A report by the Insolvency Service found that director Sarah Ilyas, 36, whose last known address was Armadale Road in Bolton and whose occupation is listed as a pharmacist on Companies House, made a "wrongful declaration" by hugely overstating 1SR’s turnover.
This caused the company to receive more funds than it was entitled to from the BBL scheme. The company was registered to an address at Fairclough House on Church Street in Chorley. A statement said: “A business could apply for a loan of between £2,000 and £50,000 subject to a maximum of up to 25 per cent of turnover in the calendar year 2019.
“Bank statements for the year 2019, show a turnover for the year of £354. “No further deposits [were made] into the bank account until May 11, 2020. Bank statements sh.
