Nelson Clark, aged 34, has been sentenced to two-and-a-half years in prison after misrepresenting his income to obtain Bounce Back Loans intended for small businesses during the pandemic.
A taxi driver from Dartford, Kent, has been sentenced to two-and-a-half years in prison following a fraudulent scheme to secure Covid loans totalling £130,000. Nelson Clark, aged 34, was found guilty of providing false information about his income while applying for Bounce Back Loans aimed at assisting small businesses during the pandemic.
The fraudulent activity commenced when Clark applied for his first Bounce Back Loan of £30,000 in May 2020, claiming that his annual turnover for his business, N Clark Taxis, was £120,000. However, an investigation by the Insolvency Service revealed that his actual revenue was approximately £70,000 lower than this exaggerated figure.
In July 2020, just two months later, Clark further sought to exploit the loan system by obtaining an additional £100,000 across two other businesses, Nelson Clark Management and Rosewood Motors. In these subsequent applications, he misrepresented both businesses’ turnovers to be £200,000 each, allowing him to secure two loans worth £50,000 each.
The investigation also disclosed that a considerable portion of the funds, approximately £80,000, was transferred to a third party for personal use, contrary to the terms and intended purpose of the loans, which were meant to support small businesses during the economic challenges posed by the pandemic.
Clark was declared bankrupt in August 2021 and subsequently signed a 10-year Bankruptcy Restrictions Undertaking in March 2022, which imposes limits on his borrowing capacity without disclosing his bankrupt status.
After taking into account the extent of Clark’s dishonest actions, David Snasdell, Chief Investigator at the Insolvency Service, commented on the case, stating, “Nelson Clark deliberately targeted a scheme which was set up to support genuine small businesses through Covid. Clark made false representations on not just one occasion, but three times within a two-month period. His actions were clearly dishonest and he made matters worse by spending the money he received for his own personal benefit.”
In an effort to recover the fraudulently obtained funds, the Insolvency Service has initiated proceedings under the Proceeds of Crime Act 2002. Clark’s sentencing took place at Croydon Crown Court on 13 March.
Source: Noah Wire Services
- https://www.miragenews.com/kent-cabbie-jailed-for-covid-loan-fraud-1426102/ – This article corroborates Nelson Clark’s sentencing for fraudulently securing Covid loans and provides details about his false representations and misuse of funds.
- https://www.gov.uk/government/news/kent-taxi-driver-jailed-after-inflating-turnover-to-secure-three-covid-loans – This government news release confirms Clark’s imprisonment and the specifics of his fraudulent activities, including the exaggeration of his business turnover.
- https://thxnews.com/2025/03/14/kent-taxi-driver-sentenced-for-covid-loan-fraud/ – This news article reports on Clark’s sentencing and the fraudulent scheme involving Covid loans, aligning with other sources on the details of his case.
- https://www.legislation.gov.uk/ukpga/2006/35/section/2 – This link provides the legal framework under which Nelson Clark was charged, specifically section 2 of the Fraud Act 2006, which pertains to fraud by false representation.
- https://www.gov.uk/guidance/proceeds-of-crime-act-2002 – This webpage explains the Proceeds of Crime Act 2002, under which the Insolvency Service is seeking to recover the fraudulently obtained funds from Clark.
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
9
Notes:
The narrative is recent, referencing a sentencing that occurred on 13 March, indicating that the information is current and not recycled from older reports.
Quotes check
Score:
8
Notes:
The quote from David Snasdell, Chief Investigator at the Insolvency Service, is specific to this case but lacks an earliest known reference online. It appears to be original to this context.
Source reliability
Score:
8
Notes:
The narrative originates from KentLive, a local news outlet. While not as prominent as national news sources like the BBC or Reuters, it is still a recognized local publication.
Plausability check
Score:
9
Notes:
The claims about the fraudulent activities and subsequent legal actions are plausible and consistent with the context of Covid-era financial support schemes and legal proceedings.
Overall assessment
Verdict (FAIL, OPEN, PASS): PASS
Confidence (LOW, MEDIUM, HIGH): HIGH
Summary:
The narrative is recent and appears to be based on actual events, with plausible claims about financial fraud during the pandemic. The source is a local news outlet, which generally provides reliable local information.
