Ricky Harrison, a director of several education-related companies, has been jailed for over three years after fraudulently taking £200,000 in Covid-19 Bounce Back Loans. These loans were part of a government scheme to help struggling small businesses during the pandemic, but Harrison used the system dishonestly. He claimed the maximum £50,000 for each of his four companies, even though three of them were not even operating at the time. In reality, he should have only been entitled to around £16,000.

He was sentenced to three years and two months in prison. He has also been banned from being a company director for ten years.

The companies, which included Hackney Works Ltd, Tower Hamlets Works Ltd, and Ricky Harrison Holdings Ltd, were all registered to provide educational support services. However, investigations later revealed that only one, Newham Works Ltd, had any trading income. Despite this, Harrison declared exaggerated turnovers to secure the loans. For example, he claimed Hackney Works made £245,000 in annual sales when in fact the company was dormant.

Instead of using the money to support business activity, Harrison spent the funds on personal use. Evidence showed that he transferred money between his companies and even spent £85,000 on buying a vehicle. To avoid paying the loans back, he tried to shut down all four companies shortly after receiving the funds.

The Insolvency Service investigated his actions and found that Harrison had no intention of using the money properly. The case is a reminder that misusing public money, especially during a time of national crisis, will lead to serious consequences.