A Kent taxi driver has been jailed after he secured £130,000 from exploiting a government-backed scheme during the pandemic.

Nelson Clark fraudulently applied for three Covid Bounce Back Loans in 2020 by significantly exaggerating his yearly revenue.

The 34-year-old first applied to the bank for £30,000 in May on behalf of his N Clark Taxis business stating his annual turnover was £120,000 - an over-estimate of around £70,000.

Two months later, Clark secured a further £100,000 loan from a different bank for two firms, Nelson Clark Management and Rosewood Motors, claiming they made a revenue of £200,000 each.

Bounce Back Loans were introduced in 2020 to help small and medium-sized businesses borrow up to £50,000 to support their firms which had been affected by Covid.

They were made on the condition that the money was not spent on personal purposes and was repaid in a specific time period.

However, Clark used significant amounts of the £130,000 loan for his own use, including transferring £80,000 to a third party, breaking the rules of the scheme.

The businessman was declared bankrupt in August 2021 and signed a 10-year restrictions order the following year meaning he cannot borrow more than £500 without disclosing his bankrupt status.

Following an investigation into his applications by the Insolvency Service, he was charged with fraud by false representation.

Clark, of Silver Birch Close, Dartford, was sentenced to two-and-a-half years in prison at Croydon Crown Court yesterday (March 13).

The government agency is now seeking to recover the fraudulently obtained funds under the Proceeds of Crime Act 2002.

Chief investigator David Snasdell said: “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.

“Five years on from the start of the pandemic, the Insolvency Service remains committed to taking action against the fraudsters who cynically applied for money they were not entitled to during a national emergency.”