Press release -
£14 million payback for playboy VAT fraudster
A convicted multi-millionaire tax fraudster, already jailed for money laundering his share of a £250 million VAT fraud, has been ordered to repay criminal profits of £14 million, within nine months, or remain in jail for a further ten years.
Nasir Khan was jailed for nine years in 2011. Fifteen other career criminals were also jailed for almost 100 years for their part in the conspiracy which was unravelled by HM Revenue and Customs (HMRC) officers in a 10-year Investigation. The gang used the supposed import and export of mobile phones to carry out one of the UK’s largest ever VAT “missing trader” frauds.
Robert Alder, Assistant Director of Criminal Investigation for HMRC, said:
“Nasir Khan enjoyed the lifestyle of an international playboy, investing the proceeds of his crimes in a portfolio of luxury rental apartments in London, Marbella and Gibraltar. He kept a yacht and a fleet of luxury cars, including a Bentley, Ferrari, Lamborghini, Porsche and over a dozen Mercedes with personalised number plates. They have all been restrained”.
“Our investigations do not stop with the sentencing of those involved in fraud. We will also try to stop criminals profiting from their crimes and reclaim as much as possible for the UK taxpayer.”
The lengthy investigation led to a series of coordinated arrests across the UK and resulted in the seizure of over half a million documents and 130 computer hard drives.
Analysis of the information seized showed transaction chains, contacts between the defendants and details of how the organisation was carrying out fraudulent deals. Offshore bank accounts were identified showing money being transferred from the UK and EU into accounts in Hong Kong, Pakistan and Dubai. The fraud was carried out over a two year period from June 2001 to July 2003.
On sentencing Khan in 2011 His Honour Judge Loraine-Smith said:
“The levels of profits were too great for you to resist. You had tried to paint yourself as a generous provider to charities and as a role model – in truth, you were nothing of the kind. You were close to the heart of the fraud and benefited greatly from it.”
Notes for Editors
1. Photographs of all defendants, the high value assets restrained, including a collection of “antique” mobile phones, and a “crime chart” depicting each defendant’s role in the fraud, are available at HMRC’s Flickr channel www.flickr.com/hmrcgovuk or on request.
2. Details of the confiscation order secured today, 6 September 2013, against Khan at Southwark Crown Court and previous sentencing on 20 December 2011, at the same court:
Nasir Khan, also known as Nasa Khan, (DOB 09.09.72) currently of HM Prison Service and formerly of 1102 Atlantic Suites, Gibraltar, was ordered to repay £14 million within nine months or serve an additional 10 years in prison. He was previously sentenced to nine years in prison and was disqualified from holding a company directorship for 10 years.
Khan was the owner of The Accessory People PLC, Cox Lane, Chessington, a business dealing in mobile phone accessories. However, as the accessory market declined from around 2001, The Accessory People PLC began fraudulent wholesale trade in mobile phones, boosting turnover from £13 million in 2002 to £219 million in 2003, earning large profits for Khan. He bought luxury properties on the Thames at Putney Wharf, Chelsea Harbour, and in Spain and Gibraltar.
3. Details of previous sentencing of all defendants are available at: http://hmrc.presscentre.com/Press-Releases/-250-million-fraudsters-jailed-6729c.aspx and http://hmrc.presscentre.com/Press-Releases/-250m-fraudster-jailed-688cd.aspx
4. Follow HMRC on Twitter @HMRCgovuk
Issued by HM Revenue & Customs Press Office
HM Revenue & Customs (HMRC) is the UK’s tax authority.
HMRC is responsible for making sure that the money is available to fund the UK’s public services and for helping families and individuals with targeted financial support.