A CONVICTED fraudster from Northwood and another with business links to Uxbridge have been ordered to repay a record £92.3million each - or face an extra 10 years in jail.
Conmen Shakeel Ahmad, of Astons Road in Northwood, and Syed Ahmed, of Iver Heath, and are both serving seven-year jail terms. But they have now been given just two months to pay back the huge sum, or face a further 10 years behind bars.
Ahmad, 38, and Ahmed, 37, were part of a 21-strong gang who bought luxury houses in London, high performance cars, and built blocks of flats in Dubai, after stealing s37.5million in the so-called 'missing trader' VAT tax fraud.
HMRC say Monday's confiscation order is the biggest they have ever secured. Richard Meadows, assistant director of criminal investigation, said: "This is the largest-ever confiscation order secured by Revenue and Customs at the end of one of our most complicated investigations. I believe it to be one of the largest confiscation orders in the UK to date.
"The gang stole s37.5million in a VAT tax fraud using the cash to invest in luxury property in the UK and abroad."
One of the businesses used by Ahmed was MST Associates (UK) Ltd, of Uxbridge. It was a VAT-registered business used by the 'missing trader' to distance themselves from the exporter and reclaim the VAT charged.
"We are determined to bring to justice the criminals behind this type of fraud and take away the proceeds of their crime," continued Mr Meadows. "We have worked very closely with the West Midlands Regional Asset Recovery Team (RART) and law enforcement agencies across the world to bring this case to a successful conclusion."
Among the assets bought by the gang using their illegal cash were a luxury flat in Knightsbridge worth s4.5million, a house in Harrow worth s2million, a house in Buckinghamshire worth s1.5million, a riverside flat in Battersea worth s500,000, two apartment tower blocks in Dubai worth s80million and high performance motorcars including a Ferrari 360 Modena convertible and a Mercedes 500CL.
Gifts were also given to family members, including designer clothing, a Range Rover and cash totalling around s1million.
In giving the confiscation order at Leicester Crown Court, Lord Justice Richard Flaux told the pair: "You are both complete liars and devious. You are adept at using others in an attempt to make your activities legitimate, creating a smokescreen to hide the value of your assets and conceal this from HMRC."
The complex investigation into the gang's fraudulent network began in April 2002. The 21st and final defendant was sentenced last month, ending a probe that led to seven trials and retrials. Altogether, the gang are serving jail terms totalling 74 years.
The conspiracy involved the import of computer processing units (CPUs), mainly from Ireland, free of VAT. The goods were sold on cheaply, with VAT added, through a chain of companies including the one in Uxbridge. Once the goods had been sold on a number of times they would be exported back to the EU.
The exporter would then claim a VAT credit from HMRC for the VAT paid on the purchase of the goods.
The gang divided the dishonest profits of the fraud and laundered them through various bank accounts both in the UK and abroad. Some of the money is believed to have been invested in a third of a tonne of gold bullion.
