Ringleaders jailed after £5m construction tax fraud

Grant Prior 12 months ago
Share

The ringleaders of a gang who triggered Northern Ireland’s biggest ever tax fraud probe have been jailed thanks to secretly recorded conversations in a bugged accountant’s office.

The ringleaders, Francis Devlin & Paul McStravick
The ringleaders, Francis Devlin & Paul McStravick

The decade-long investigation into the £5m construction  tax fraud ended this week with prison sentences issued to gang leaders 58-year-old Francis Devlin and 56-year-old Paul McStravick for a combined total of eight years.

HM Revenue and Customs (HMRC) mounted its biggest ever operation in Northern Ireland to bring the 27-strong gang to justice.

The case was based on more than 260 hours of secretly recorded footage of gang members plotting the fraud from the Belfast accountancy firm Allen Tully & Co where Devlin was a partner and the wider gang used as a base.

The gang created a false audit trail that enabled clients to operate in the construction industry without paying tax or VAT.

They created 16 bogus companies and used 56 associated bank accounts to commit the fraud.

Working with partners in the PSNI, the Public Prosecution Service (PPS), the National Crime Agency and financial institutions, HMRC built the case before swooping on 34 premises.

More than 400 HMRC officers searched 34 business and residential premises in March 2012, including three in England, in its biggest ever operation in Northern Ireland.

HMRC kept the gang under the secret surveillance for six weeks between February and March 2012.

Devlin and McStravick were jailed for four years each. Another 25 accomplices, most of whom knowingly allowed their personal details to be used as part of the fraud, were handed suspended prison sentences.

Richard Las, Director, Fraud Investigation Service, HMRC, said: “This was a sophisticated and complex fraud that took the largest ever tax probe in Northern Ireland, including extensive covert surveillance, for HMRC fraud investigators to bring it down.

“Their tenacity and expertise has stopped the loss of millions of pounds in taxpayers’ money, which is now paying for our vital public services, rather than lining the pockets of criminals.

“The fact is, no tax criminal is beyond our reach and that includes those corrupt professionals who aid and abet them, as these sentences clearly show.”

Latest news

Industry rebar supplies at risk from Chatham Docks scheme

ArcelorMittal warns it will be forced to shut Kent facility supplying 30% of UK rebar
3 hours ago

Galliford Try wins £70m Oxford immigration centre

Contractor secures job to build 400-bedroom immigration removal centre at Campsfield
4 hours ago

18 win £600m North Wales construction framework

Major project lot shared by Galliford Try, Kier and Morgan Sindall, Read and Wynn
4 hours ago

Manchester 37-storey student tower approved

Construction to start in early 2025 at old Hotspur Press mill building
4 hours ago

Kier chalks up £23m Bradford school job

New Trinity Academy in Bradford to be built in three phases
4 hours ago

Subcontractors wanted across Glasgow

Register now to meet buyers at latest Constructionline event
4 hours ago

M&E sector leads rise in subcontractor tender activity

Tender activity grows in first quarter but concern about project delays remain
1 day ago

Funding deal for Salford Michigan Tower job

Vermont Construction to build first 34-storey tower for developer X1
1 day ago

Court fight continues for specialist hit by CCJ blunder

Screeding contractor still fighting bureaucracy seven months after incorrect filing
1 day ago

Morgan Sindall bags £60m raft of NHS projects

Mid and South Essex NHS Trust plans six projects
2 days ago

Peri buys shoring and temporary bridge specialist Mabey Hire

Scaffolding and formwork specialist expands offer
2 days ago

Steel contractor Embrace targets £100m revenue

Growing structural steel specialist appoints COO
1 day ago

Vinci/McAlpine go-ahead for £312m Midlands hospitals revamp

Shrewsbury and Telford Hospital NHS Trust gets full business case approval
2 days ago

Lendlease puts construction arm up for sale

After two decades of global expansion Lendlease retreats to Australia
3 days ago

Mount Anvil seals Isle of Dogs estate rebuild

Firm will build 300 new homes at East London's Tiller Road Estate
2 days ago

Northumbria Uni invites bids for £75m CHASE project

12-storey student block to be demolished for new Centre for Health and Social Equity
2 days ago

Civils firm Akela appoints former Robertson director as MD

Framework expert Robert Ogg to lead growth at Scottish contractor
2 days ago

McLaren to build new Hertfordshire primary school

Contractor to prioritise local suppliers on High Leigh Garden Village site
2 days ago

Developer picked for Stafford town centre regeneration

ION Developments will draw up detailed plans for mixed-use Eastgate scheme
2 days ago

Former Crossrail boss Mark Wild to lead HS2

Wild to bear down on spiralling costs and bring rejigged scheme in on time
4 days ago

Receivers in at £125m Manchester tower developer

Domis Construction walked away from scheme following doubts over funding
5 days ago

Costain A1 £260m dualling job finally gets go-ahead

Ministers sat on planning inspectors report for nearly three years
3 days ago

Election delays decision on Lower Thames Crossing

Planning decision on £1.2bn Luton airport expansion also pushed back six months
3 days ago

Caddick steps-in at former Lane End housing job

Contractor to restart phase of £262m scheme hit by administration
3 days ago

Plans in for Leeds iconic Tetley building revamp

Former brewing giant's HQ to become indoor market and offices
3 days ago

BAM wins first phase of North Devon hospital revamp

New staff accommodation to kick-off hospital redevelopment
3 days ago

McAlpine pulls out of £55m Carlisle Citadels project

University of Cumbria starts hunt for replacement contractor
1 week ago

Strabag UK suffers further big trading loss

Austrian contractor is gearing up for major presence in the UK market
1 week ago

Durham Uni picks UPP for £130m student scheme

Firm will deliver 1,000 self-catered bed spaces
1 week ago

Architects now upbeat after 10-months of work gloom

Larger practices see rising workloads in next three months
1 week ago

Contractor services