The official receiver was appointed as his trustee in bankruptcy before uncovering the former café manager had falsely applied for a £50,000 Bounce Back Loan.
Salih Ozhot, from Southgate, North London, petitioned for his bankruptcy before being made bankrupt on 13 October 2021.
Mr Ozhot applied for the loan on behalf of Kangaroo Courier Services, claiming the business had been set up in November 2019. However, the business never traded and was ineligible for government support.
Inquiries found that out of the £50,000, Mr Ozhot used £15,000 towards setting up a website for Kangaroo Courier Services. In interviews with the official receiver, Mr Ozhot claimed he thought he could invest the Bounce Back Loan into the business.
Due to the risk he posed to creditors, the official receiver applied for Mr Ozhot to be placed under additional years of bankruptcy restrictions.
On 11 May 2022 Mr Ozhot accepted an eight-year bankruptcy undertaking, which restricts him from being able to borrow more than £500 without disclosing his bankrupt status. He also cannot act as a company director without the court’s permission.
Mitzi Mace, official receiver, said Mr Ozhot cynically applied for government support, intended to help viable businesses during the pandemic, for a business that didn’t even exist.
“Salih Ozhot’s actions indicated a cavalier approach to business and a risk to future creditors. His eight-year ban should serve as a warning that the Insolvency Service will take action to tackle such financial wrongdoing,” he said.
In their capacity as Mr Ozhot’s trustee in bankruptcy, the official receiver is assessing assets available in order to recover the Bounce Back Loan.
