Luton-based company director banned over fraudulent Covid loan

An IT company director has been banned after fraudulently applying for a Covid bounce-back loan.

Syzmon Jastrzebski, whose last known address was in Buxton Road, Luton, applied for two bounce-back loans worth a combined £100,000 when businesses were entitled to only one.

The 24-year-old has been banned as a company director until April 2037.

He was also ordered by Bristol Business and Property Court to pay costs of £3,566.

Jastrzebski was the sole director of E Marketing Ltd, a company registered in Swansea, incorporated to provide software development and IT support.

In May 2020, he applied for two Covid bounce-back loans worth the maximum £50,000 each.

The loans were designed to help small companies survive the pandemic.

However, E Marketing ceased trading just one month later and was liquidated in July 2021.

Jastrzebski did not tell insolvency practitioners about the first loan, which came to light only during investigations into his conduct by the Insolvency Service.

Following an investigation by the service, he was handed a disqualification order at the Bristol court on 26 March.

The order, which came into effect on 16 April, prevents him from becoming involved in the promotion, formation or management of a company, without the permission of the court.

Kevin Read, chief investigator at the Insolvency Service, said the 13-year disqualification "reflects the serious nature of the breach of acceptable behaviour for any company director".

Investigators said the company failed to maintain adequate accounting records from its incorporation in October 2019 until its liquidation.

As a result, investigators were unable to determine if the loans were used to benefit the business.

Payments of more than £500,000 to third parties between March 2020 and June 2021 were also not explained by Jastrzebski, the Insolvency Service said.

Jastrzebski did not contest proceedings or attend the hearing.

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