A pharmacist has been prosecuted after claiming business rates relief he was not entitled to.
Ismail Yusuf Nagdi, 58, claimed £56,941 in small business rates relief, which supports smaller businesses to meet the costs of running their business.
It’s usually only for businesses with a single premises, but Mr Nagdo claimed from both Manchester and Trafford councils for pharmacies on Albert Road, in Levenshulme, and a second premises on Ayres Road, in Old Trafford.
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He completed applications for the rates relief which stated that he only operated one business premises. This allowed him to claim nearly £60,000 in Small Business Rates relief, Manchester council said in a statement.
He has now been handed a suspended sentence at crown court and fined thousands of pounds.
Councillor Rabnawaz Akbar, Manchester council’s executive member for neighbourhoods, said: “Rates relief is available to support smaller businesses to meet the costs of running their business. This removes some of the cost burden of overheads and allows businesses space to grow.
“The vast majority of rates relief claimants do so legitimately. However, we will always investigate when we think someone is taking advantage of the system.
“And the custodial sentence handed out in this case should be a warning that legal action will be taken when we find someone claiming support cash that they are not entitled to.
“Thanks to our colleagues at Trafford council with whom we worked in partnership to investigate this case and bring a successful prosecution.”
Mr Nagdi, of Seymour Grove, Trafford, has premises in Manchester and Trafford.
As director of the G Pennat Robert Ltd pharmacies he pleaded guilty at an earlier magistrates court hearing to claiming £56,941.75 (£27,030.93 in Manchester and £29,910.82 Trafford) in Small Business Rates Relief under the Theft Act 1978 for dishonestly obtaining an exemption from business rates.
The case was referred to the Crown Court for sentencing.
Nagdi was this week (December 20) sentenced to 14 months in custody, suspended for 18 months.
He was also ordered to pay court costs of £5,091.
No separate penalty was given to the company.
Small Business Rates relief is granted to small businesses that have a business rates value under £15,000 – and is usually only applicable to businesses that have a single premises.
A spokesperson for Trafford council said: “We will continue to come down hard on those individuals who break the law by wrongly claiming business rates relief.
“This benefit is aimed at smaller businesses who desperately need help.
“The sentence handed out here is proof that the courts take this crime very seriously and we are pleased with the outcome of this case.
“Thanks to colleagues at Manchester City Council for all their help investigating this case.”
