Several of the scammers involved in a fake eco-investment scheme as a tax break for wealthy investors have been ordered to pay back some of the money they conned out of victims.
This comes two years after six men were jailed for devising the scam, which at around £107.9m ($136.2m, €123.7m), HM Revenue & Customs (HMRC) described as one of the UK’s biggest.
According to UK newswire Daily Mail, Jonathan Anwyl and Robert Gold, who were jailed for five and a half and 11 years, respectively, have been ordered to pay back some of the money from the fraud.
Justice Edis of the Old Bailey found Anwyl benefited around £2.2m from the fraud, but only has to pay back just £253,934.47 or serve another two years in jail.
Whereas, Gold profited just over £7m and must pay back around £2.6m or face another nine years in prison.
Confiscation proceedings against the remaining defendants will take place at the Old Bailey on 28 October.
Scheme
Following a 10-year investigation, HMRC secured convictions in 2017 against a group of bankers, businessmen, a solicitor and an engineer who enticed people to invest in researching the best ways to regenerate forests in Brazil and China to aid the fight against global warming.
The investigation revealed the scheme was nothing more than a fraud based on a complex series of contrived bank and paper transactions.
A total of 730 investors signed up to the scheme, induced by the offer of an immediate large return – a £20,000 investment would result in a successful claim for £32,000 in tax relief.
However, the group used the investors’ money to fund their lavish lifestyles, buying properties in the UK, Dubai and Australia, expensive jewellery and luxury holidays.
Involvement
Michael Richards, the ringmaster and originator of the fraud, led the group to create and trade Carbon Emission Reduction Certificates, which help countries hit environmental emissions targets set by the United Nations.
He was assisted by entrepreneur Gold of Dubai, described in court as Richards’ bulldog and negotiator who ensured the fraudulent deals actually took place.
Gold reportedly diverted money from the scheme to purchase properties in the UK and Dubai for himself.
Rodney Whiston-Dew – a solicitor – set up the complex offshore structures to disguise the true nature of the fraud and hide the money, none of which was declared to HMRC.
The other group members were environmentalist and business consultant Anwyl and 78-year-old former music industry executive and ex-banker Evdoros Chrysanthos Demetriou.
Whiston-Dew was jailed for 10 years; Richards for 11 years; and Demetriou for six years.
A sixth man, Malcolm Gold, pleaded guilty to a charge of cheating the public revenue in November 2016 and was sentenced to 20 months in prison in January 2017.
