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Accountant jailed over £2m loan scam
A SOUTH Tyneside accountant is behind bars for his part in a £2.24m loan scam.
Paul Robertson provided forged documents from his South Shields offices to mortgage broker Martin Watson, who lied on application forms he submitted for unsuspecting clients.
Robertson's fake pay slips and P60s ensured Watson was almost guaranteed to be granted the home loans he applied for, Newcastle Crown Court was told yesterday, securing him huge commission and arrangement fees.
Of the 2.24m total, the value of the loans obtained using Robertson's fake documents was 1.78m.
The court heard how Watson was working on a self-employed basis for a company based in Gateshead.
He deliberately submitted 21 mortgage applications containing false information, such as inflated salary figures, for the applicant.
Meanwhile, Robertson manufactured the bogus paperwork at Robertson and Co accountants Ltd at Navigation House, Slake Terrace, South Shields.
Prosecutor John Elvidge QC told the court: "His role was to provide proof of employment and earnings in support of false representations.
"This work was done on his behalf and, with his knowledge, by his staff.
"Both Watson and Robertson would ask staff to produce pay slips and P60s for Martin Watson. Robertson, when he heard the police were investigating, told staff they should not do any more pay slips and, if anyone asked, they were to say they had never done them.
"After he was arrested, the staff decided to tell the truth."
The court heard the staff at Robertson's company co-operated fully with the police about what had been going on.
After the scam was uncovered, Watson made a series of telephone calls posing as court staff and other officials in a bid to intimidate witnesses.
Despite the dishonesty, the court heard all of the mortgages, except one, are being paid back by the clients.
Both men pleaded to conspiracy to obtain money transfers by deception between 2004 and 2007.
Watson, 54, of Collingwood Crescent, Ponteland, admitted two further charges of witness intimidation and was jailed for a total of three years and nine months.
Robertson, 51, of Renforth Close, Gateshead, was jailed for 12 months.
Judge David Wood accepted Robertson had played a lesser role in the fraud and had been running his business successfully despite having no formal qualifications.
But the judge told him: "You say you were fearful of your co-accused, but you did have a choice to refuse his requests for false documentation.
"You did gain some rewards for your services, and knew very well what you were doing was dishonest."
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Weather for South Shields
Saturday 04 February 2012
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