A fraudster, who swindled nearly £600,000 out of the taxpayer-funded London Development Agency during a five-year scam, was jailed for two years and eight months yesterday.
A total of 151 bogus applications were made on behalf of non-existent small businesses seeking finance and rubber-stamped by dishonest staff within the LDA.
Company director Marian Nelson-Addy, 44, of Blackmoor Gate, Furzton, Milton Keynes - boss of Track Record Services (TRS) - pleaded guilty to conspiring to defraud the LDA between April 1, 2003 and September 30, 2008 and conspiracy to money launder.
Her co-defendants, who were employed by the LDA, denied the plot and were acquitted after the prosecution against them collapsed last year.
TRS submitted applications on behalf of supposedly genuine businesses to the LDA for funding and received £250 if they were accepted plus £600 per day for up to five days for assisting the small firms.
However, a former Barclays Bank employee at the LDA noticed an incorrect address on a bank reference submitted by TRS on behalf of a business and an investigation was launched.
"No listings were found for the firms TRS had applied on behalf of, telephone calls were not answered and a total of eighteen different forged banks references were discovered," prosecutor Miss Alexandra Felix told Croydon Crown Court.
One address used for a bogus company turned out to be a Texaco petrol station and police discovered Nelson-Addy (pictured) would cut and paste company logos from the internet for use in creating forgeries.
She was even convicted of benefit fraud in 2010 for failing to disclose an insurance pay-out after the death of her husband.
A total of £594,000 was paid by the LDA to Nelson-Addy and when her bank account was restrained it contained £197,000. She claims the rest went to her co-defendants.
Police also restrained £37,000 in shares, a pension, her mortgage-free £340,000 house, her Mercedes car and confiscation proceedings will follow.
"The idea and the motivation came from the co-defendants who worked for the LDA," said Mr. Stephen Fiddler, defending. "She asks for compassion. It was not her idea."
Judge Nicholas Ainley said: "TRS was used to process these applications and the defendant was the sole director and bank account signatory.
"TRS made applications on behalf of small businesses that did not exist. In fact all their applications were almost overwhelmingly fraudulent.
"It is obvious she was not acting alone and when the applications were received they were approved by one person at the LDA.
"She was a very major player indeed and was central to the conspiracy. She was an enthusiastic participant who stood to gain so much.
"This was professionally planned and took place over a significant period of time."
1 comment:
very very sad and feel so soory for her.
This is a lesson to all of us that we should not bite more than we can chew.
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