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VAT cheat to pay back £6.8m

Date: 29th January 2009

HMRC have successfully prosecuted a group of VAT fraudstersA VAT cheat has been ordered to pay back £6.8 million after being found guilty of an £85 million fraud.

The elaborate 'carousel' scam - which involved the importing of mobile phones - resulted in the one of HM Revenue and Customs' (HMRC) biggest ever investigations, leading to five men being imprisoned for a combined total of almost 50 years.

Raymond Cox, the ringleader of the gang, has already had £3.8 million in personal assets seized by the revenue, including an apartment in Spain, a collection of performance cars and a Rolex watch.

Assistant chief investigation officer for HMRC, Andrew Pavlinic, said: "The confiscations for this gang and for Cox in particular show our work … doesn't stop when criminals are sentenced.

"We strive to reclaim their fraudulent profits and return the money to the public purse."

He added that HMRC "would not hesitate" to prosecute individuals or groups charged with VAT fraud.

Cox now has until February 23rd to repay £2.6 million of the £6.8 million he owes, with the remaining balance due by January 25th next year.


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