The Talbot Ale House in St Helen’s ceased trading in September 2019 and ex-owner Gary Wright was declared bankrupt in February 2020 due to debts owed to a major utility company.
However, the 46-year-old applied for a £25,000 Bounce Back Loan on behalf of the pub in June 2020.
Wright failed to tell the bank he was bankrupt during the application process and claimed the turnover of the pub was £400,000, according to the Government website.
Different management
He was sentenced to two years in prison, suspended for two years, at Liverpool Crown Court on Thursday 24 April this year.
He was also ordered to complete 150 hours of unpaid work and pay £1,500 in costs.
In addition, Wright remains an ‘undischarged bankrupt’, meaning he has not been officially released from bankruptcy.
The Bounce Back Loan was repaid in full shortly before Wright was sentenced and a pub continues to run from the same address in St Helens but under different management.
Criminal conviction
Insolvency Service chief investigator David Snasdell said: “Gary Wright incurred significant debts after his business failed and he was ultimately declared bankrupt.
“He then attempted to take advantage of a scheme, which was backed by taxpayers and designed to support viable small businesses through the pandemic.
“Bankrupts are legally required to declare their status when applying for loans or credit. Wright clearly failed to do this, which is why he now has a criminal conviction.”
Individuals subject to a bankruptcy order must disclose their status if they borrow or obtain credit of £500 or more.
