A fraudster who attempted to claim £80,000 from Lambeth Council in a Covid grants scam has been convicted.
Mirza Altaf Ali Baig pleaded guilty to one count of fraud by false representation in relation to a series of eight false Covid-19 Retail Hospitality and Leisure grants.
Baig, who let eight units in Streatham to small businesses, made fraudulent applications for Covid-19 grants using names and identities of friends and associates, asserting that they were based at the units, in 2020.
Authorities were only notified of the fraud when some of the legitimate tenants in Baig's units began making their own applications for grants.
The businessman attempted to claim £80,000 from Lambeth Council, a sentencing hearing at Southwark Crown Court heard.
Baig, who gave an address in Birmingham to the court, was handed an 18-month suspended sentence, ordered to attend 150 hours of unpaid work and pay the council £6,000 in costs.
The Retail Hospitality and Leisure Fund was a Government scheme to assist small businesses during the first Covid lockdown, which began on March 23, 2020.
Under the scheme, businesses trading in the retail, hospitality and leisure sectors from March 11, 2020 were entitled to one-off cash grants of up to £25,000 from their local council.
Around May 2019, Baig had subdivided commercial premises at Streatham High Road into eight separate units, which he then let to small businesses.
Between May and July 2020, he made fraudulent applications for Covid-19 grants, using the names and identities of friends and associates, asserting that they were based at these eight units.
Any grant money would therefore have been directed to him, rather than being paid to the businesses in occupation at the time.
The fraud came to light when some of Baig’s legitimate tenants began making grant application themselves.
Lambeth Council acted swiftly to stop four fraudulent claims before they were paid and referred the matter to the Counter Fraud team for investigation.
At his sentencing in November, Judge Perrins told Baig: "This was calculated, dishonest conduct at a time of national emergency, diverting funds away from people who genuinely needed it.
"Your fraud only came to light when legitimate tenants began making applications. Had you been successful, the situation would have been very different."
Councillor David Amos, Lambeth Cabinet Member for Finance and Cost of Living, said: "The Covid pandemic was one of the biggest crises to hit this country for generations, and I’m proud that Lambeth came together to support the communities and businesses that needed our help the most.
"The Retail Hospitality and Leisure Fund was a lifeline for many of our local businesses, and it is sickening to know that it was seen by some as an opportunity to profit fraudulently. We’ll continue to rigorously investigate rigorously and pursue any allegation of fraud, to ensure that anyone who attempts to take advantage of the system is held to account."
