Four jailed for laundering £1.28m stolen from Government offices

Much of the money, which had been diverted into a “cloned” company’s bank account, was used to buy gold and expensive cars.

Three of the men sentenced at Leeds Crown Court yesterday were also involved in a “sophisticated and professionally planned” attempt to defraud Revenue and Customs by making a fraudulent application for VAT to be reclaimed.

Judge Rodney Jameson QC said the failed attempt to reclaim about £250,000 in VAT involved cloning the details of a genuine Irish company and the creation of false invoices to show the supply of goods which never happened.

That same company featured in the Defra case where the conspiracy succeeded. Two payments totalling £1.28m made by Defra to an IT provider were diverted into one of two accounts set up by the fraudsters.

Judge Jameson said he accepted those in court had been “executing the orders” of Michael Bostock, the main conspirator, 
but they had each played their role.

Of the money, £830,000 went to buy gold, some was spent on expensive cars such as a Porsche for £77,000 and £78,000 went to a company in Portugal run by another conspirator.

Paul Edwards, 30 of Wenlock Close, Newcastle-under-Lyme, Staffs, was jailed for three years three months and disqualified from being a company director for eight years after he admitted conspiracy to cheat the revenue and to launder criminal property.

Paul Tinsley, 37, of Railway Street, Stoke-on-Trent was given two years two months and disqualified from being a company director for five years for the same offences.

Robert Cann, 70 of Dunham Rise, Altrincham, Cheshire was jailed for 15 months and disqualified from being a company director for six years for the same two offences.

Thomas Cottam, 55 of Deganwy, Conway, who admitted conspiracy to launder criminal property was given 21 months and disqualified from being a company director for five years.

Bostock is yet to be sentenced.