Four men have been sentenced to a combined total of more than 22 years in prison after carrying out an £8.8 million VAT payroll fraud to fund lavish lifestyles.
Martin Lang (68), Graeme Cullen (54), Leslie Thompson (63), and Graham Newall (49) worked together to defraud His Majesty's Revenue and Customs (HMRC) over a 21-month period between September 2015 and June 2017.
The group operated through a network of companies, including Linear Services in Livingston which collected VAT from clients on payroll services but deliberately withheld the tax owed to HMRC. The stolen funds were then distributed across multiple bank accounts and redirected to the four men, along with associates and family members.
The money was spent on gold bullion, diamonds, luxury cars, designer clothing, expensive watches, holidays in Malaga, and trips to the Grand National. Plans were also uncovered for a luxury property development in Bulgaria.
Following a seven-week trial at the High Court in Glasgow, Thompson, Cullen, and Newall were convicted by a jury of fraudulently evading £8,831,124 in VAT payments. Thompson received the longest sentence of seven years, Cullen was jailed for six years, and Newall was sentenced to five years and six months. Lang, who had pleaded guilty to stealing £4,813,493, was sentenced to four years in prison. All four had their charges aggravated by a connection to serious organised crime.
Jurors heard that Newall was described as the architect of the fraud, while Thompson was referred to by associates as "the kingpin." Cullen, brought into the operation in 2015, was known to the others as "the finance guy."
Prosecutor Sineidin Corrins of the Crown Office and Procurator Fiscal Service (COPFS) said the case sent a clear message that tax fraud would be pursued and prosecuted. "Tax fraud is not a victimless crime," she said. "It steals money that funds the public services we all rely on."
All four men will now face further Crown Office action under Proceeds of Crime legislation to recover the money they illegally obtained.
Get expert legal advice before it's too late. Schedule a free consultation with our team today.
