By Gavin Mackintosh-
A drug addict who duped the Uk government of a £50K bounce back loan faces jail after being caught red handed.
Louis Glyn Maxwell, 35, from Newport, was the sole trader owner of Mr Tow Recovery Logistics, a car breakdown recovery business in the Newport area. Established in June 2019, the business operated using a Jeep Cherokee and trailer.
In August 2020 he obtained a £50,000 Bounce Back Loan by overstating his projected income. Maxwell spent an estimated £22,000 to purchase a new tow truck, but spent the remainder on Class A drugs. He then sold the new truck to also fund his habit.
At the time he was serving convictions for driving offences which prohibited him from driving
He subsequently filed for bankruptcy in August 2021, which triggered an investigation by the Insolvency Service.
A spokesperson for the Insolvency Service told The Eye Of Media.Com : ‘Maxwell’s declaration of bankruptcy triggered the investigation that led to the criminal bounce bank loan he took being discovered.
The process normally takes a year, but he will be subject to continued restrictions as a result of his crime. The bank will be looking at recovering as much as they can from his assets’
He is currently awaiting a trial at Cardiff Crown Court on a numbe rof charges. They include driving dangerously; failing to stop; possession of cocaine; failing to provide a specimen; driving whilst disqualified; driving without insurance; failing to provide a sample for class A drugs test; and theft from a dwelling.
On 18 January 2022 the Secretary of State for Business, Energy and Industrial Strategy accepted a six-year bankruptcy restrictions undertaking from Louis Glyn Maxwell.
As a result, he is under a number of restrictions, including not being able to borrow more than £500 without disclosing his bankrupt status, and he cannot act as a company director without the court’s permission.
Maxwell is currently awaiting trial at Cardiff Crown Court on various charges including possession of drugs, driving offences, and theft.
Sue Tovery, lead investigator for the Insolvency Service, said:
Taxpayers’ money was made available to help genuine businesses get through the lockdown period and where there have been abuses, we will not hesitate to take action.