Winding-up orders made against companies accused of loan fraud
Ledbridge Consultants Limited and Montague Partners Ltd secured funds from Covid support schemes they were not entitled to
Both failed to use the funds to support their businesses, filed suspicious accounts with Companies House and used people’s identities unlawfully
The companies were wound-up at the High Court following investigations by the Insolvency Service
Two connected companies which fraudulently received more than £1 million in Covid support loans have been shut down by the courts following an investigation by the Insolvency Service.
Ledbridge Consultants Limited and Montague Partners Ltd, which had registered offices in Birmingham and London, were wound-up at the High Court in London on Tuesday 10 September.
Insolvency Service investigations into both Ledbridge Consultants and Montague Partners concluded that both had never genuinely traded and were used as fronts for obtaining large amounts of money.
Cheryl Lambert, Chief Investigator at the Insolvency Service, said:
Taxpayers’ money from Covid support schemes was drained from company bank accounts and no evidence was provided that the funds were ever used for the business themselves. The allegations against Ledbridge Consultants and Montague Partners were extremely serious which is why it was important for us to apply to stop them from trading with immediate effect.
The two companies, which claimed to be financial intermediaries and management consultants respectively, each falsely secured £50,000 Bounce Back Loans, the maximum allowed under the terms of the scheme designed to support businesses through the pandemic.
Payments worth £1.5 million from the Future Fund - another government Covid support scheme - were also paid into Montague Partners’ bank account after being obtained in the names of three other companies.
The £1.5 million paid into Montague Partners’ account was paid out to 35 individuals within a short space of time. Ten of the 35 beneficiaries received more than £75,000, spread out over numerous smaller transactions.
Similarly, the £50,000 Bounce Back Loan paid into Ledbridge Consultants’ bank account in May 2020 was paid out to a number of individuals and companies within a matter of weeks.
By the following month, Ledbridge Consultants had nothing in their account.
However, just one year later, the company filed accounts at Companies House showing their total net assets had increased by £13.4 million between February and August 2021.
Montague Partners also filed suspicious accounts showing total net assets of £2.2 million in November 2020, compared to £1 for the previous accounting period to November 2019.
Insolvency Service investigations also indicated that both Ledbridge Consultants and Montague Partners had used the identities of people who had applied for jobs online to set up companies without their knowledge or consent. They also used their personal data to register them as directors, shareholders, or investors in the two companies and to file suspicious documents with Companies House.
Ledbridge Consultants and Montague Partners failed to co-operate with the Insolvency Service, meaning investigators were unable to determine who controlled the companies and the purpose of significant payments made from their bank accounts.
The Official Receiver has been appointed as liquidator of both companies.
All enquiries concerning the affairs of Ledbridge Consultants and Montague Partners should be made to the Official Receiver of the Public Interest Unit: 16th Floor, 1 Westfield Avenue, Stratford, London, E20 1HZ. Email: piu.or@insolvency.gov.uk.
Further Information
Ledbridge Consultants Limited (company number 08889971)
Montague Partners Ltd (company number 11692832)
The Insolvency Service can investigate complaints about corporate abuse by live companies. This may include serious misconduct, fraud, scams or dishonest practice in the way the company operates. Further information on our live investigations can be found here
The Insolvency Service is working with Companies House to tackle economic crime and improve transparency over corporate entities under reforms introduced in the Economic Crime and Corporate Transparency Act 2023
The reforms will improve transparency over UK companies and other legal entities to strengthen our business environment, support our national security and combat economic crime, while delivering a more reliable register on Companies House to underpin business activity