Seven years for multi-identity VAT fraudster

A fraudster who used 15 different identities has been jailed for seven years for illegally reclaiming £118,000 in VAT and committing forgery.

Alison Reynolds used at least 15 different names and personas in recent years to register for VAT and submitted a total of four VAT repayment claims.

The fraudster, who came from a theatrical background, falsified purchase invoices and Companies House documents. HMRC officers also discovered various identity documents, including passports and driving licences in a number of names, during their investigation.

They also came across 'to-do' lists with reminders of "VAT invoices to fake" and, as a result of a forensic analysis of her computer, uncovered a letter on theatre company notepaper suggesting one alias went missing in the Boxing Day tsunami of 2004.

Reynolds was jailed for six years after pleading guilty on 4 November 2010 to four counts of cheating the public revenue and four counts of forgery/fraud.

She was given an additional 12 months for breaching a restraining order and perverting the course of justice.

During the trial, prosecutor Cairns Nelson QC described Reynolds as a "dishonest fantasist" who had "woven a web of deceit".

She twice met VAT inspectors at short-leased rented office accommodation in Bristol, as well as at her elderly mother's home, although her businesses were mainly fronted through mail-box addresses.

Upon sentencing, His Honour Judge Ralls QC said: "What sticks out is the staggering level of dishonesty in the case. I've not seen a case that involves such detail of fraudulent activity...The level of your dishonesty is breathtaking."

John Cooper, HMRC's assistant director of criminal investigation, said: "Not only did Alison Reynolds commit fraud on paper, but she also adopted the different persona and appearance of her aliases.

"The calculated attack on the VAT system not only robbed the exchequer, and therefore honest UK taxpayers, of public funds, but is also unfair to respectable businesses that diligently abide by the rules.

"We will not hesitate to pursue those who commit this kind of crime."