Stockbroker jailed over Ponzi fraud

By Press Association , Nov 6, 2012
Filed under: Scams & Fraud

A stockbroker who defrauded some of Britain's shrewdest business people to live a life of luxury has been jailed for 13 years.

Nicholas Levene, 48, orchestrated a lucrative Ponzi scheme, living the high life and raking £316 million into his bank accounts between April 2005 and September 2009.

Fight back - latest on scams

He was locked up at Southwark Crown Court, in London, after he admitted ripping off a series of high-fliers, including Sir Brian Souter and his sister Ann Gloag, the founders of the Stagecoach bus and rail group; Richard Caring, owner of The Ivy and Le Caprice restaurants in London's West End; and Russell Bartlett, director of the R3 Investment Group and former owner of Hull City Football Club.

Levene, nicknamed Beano because of his childhood love of the comic book, was a successful City worker with an estimated wealth of between £15 million and £20 million in 2005.

Fight back - latest on scams

But he was addicted to gambling, spending fortunes on spread betting, and had an insatiable taste for luxury.

Levene, who has been seen by psychiatrists from The Priory, admitted one count of false accounting, one of obtaining a money transfer by deception, and 12 counts of fraud.

The amount attributed to Levene's false accounting was £32,352,270. But with his customers' lost profits, the amount shot up to a total of £101,685,406.

Serious Fraud Office investigators discovered that during the four years of 48-year-old Levene's offending, he paid out £310 million from his accounts.

Some of the money was given to investors to keep them temporarily happy but he also spent massive amounts on schools for his children, cars, flash holidays for his family, yachts and properties, including a home in Israel.

Levene, a former deputy chairman of Leyton Orient Football Club, and of Barnet Road, Barnet, Hertfordshire, would take from Peter to pay Paul and shift the funds between accounts in financial havens Jersey, Switzerland and Israel, the court heard.

HMRC's most wanted tax fugitives

Yehuda Cohen
 Name: Yehuda Cohen Age: 35 Nationality: Israel Court where warrant was issued: Central Criminal Court (Old Bailey) Country believed to be in: Israel <div> </div> <div> Estimated cost to taxpayer: £800,000</div> <div> </div> <div> Biography: For a number of years Yehuda Cohen ran two companies with the intention to defraud HMRC by committing VAT fraud worth approximately £800,000. In March 2011 Cohen was arrested at London Heathrow and later bailed but failed to return to court and is still on the run.</div> <div> </div> <div> People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://bit.ly/PoT0Wx">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a></div>
Timur Mehmet
 Name: Timur Mehmet Age: 39 Nationality: UK Region: London Court where warrant was issued: Northampton Crown Court Country believed to be in: Cyprus Estimated cost to taxpayer: £25 million Biography: Timur Mehmet is wanted for his role in a large-scale VAT fraud worth about £25 million. Mehmet absconded pre-trial in January 2008, but was found guilty in absence and sentenced to eight years. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Emma Elizabeth Tazey
 Name: Emma Elizabeth Tazey Age: 38 Nationality: UK Court where warrant was issued: Maidstone Crown Court Country believed to be in: USA Estimated cost to taxpayer: £15 million Biography: Tazey is wanted in connection with Gordon Arthur, another on the Most Wanted list. In March 1999 UK Customs detected 7 million illegally imported cigarettes with a duty and VAT value £1.16 million. A further 21 seizures of alcohol and tobacco were identified which can be attributed to Arthur, with a duty value exceeding £5.5 million and a revenue loss nearer £15 million. In February 2000 Tazey broke her bail conditions and absconded; a warrant for her arrest was issued. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Sahil Jain
 Name: Sahil Jain Age: 30 Nationality: India Court where warrant was issued: Central Criminal Court (Old Bailey) Country believed to be in: UK Estimated cost to taxpayer: £328,000 Biography: Jain was arrested in connection with VAT fraud of about £328,000. He failed to appear at the Central Criminal Court and a warrant was issued for his arrest on 8 June 2012. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Rory Martin McGann
 Name: Rory Martin McGann Age: 43 Nationality: EIRE Court where warrant was issued: Belfast Crown Court Country believed to be in: Ireland Estimated cost to taxpayer: £902,000 Biography: Rory McGann is wanted for VAT offences amounting to over £902,000. McGann was arrested in Ireland and appeared in court in November 2008. He received bail to reappear in December 2009 and never returned. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Olutayo Owolabi
 Name: Olutayo Owolabi Age: 40 Nationality: UK Court where warrant was issued: Wood Green Crown Court Country believed to be in: UK Estimated cost to taxpayer: £1 million Biography: Olutayo Owolabi is still at large for 27 offences relating to tax credits and money laundering. In January 2010 Owalabi was convicted in absence and sentenced to nine months. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Malcolm McGregor McGowan
 Name: Malcolm McGregor McGowan Age: 60 Nationality: UK Court where warrant was issued: Sheffield Crown Court Country believed to be in: Spain Estimated cost to taxpayer: £16 million Biography: Between November 1999 and March 2000, Malcolm McGowan was involved in illegally importing more than 56,000 cigarettes, which in today’s market has a street value of more than £16 million. Malcolm and others went on trail in September 2001 where he pleaded not guilty, but before the trial ended McGowan fled abroad. In December 2011 McGowan was found guilty of all charges and sentenced to four years imprisonment. He was last believed to have been seen in Spain. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Leigang Liang
 Name: Leigang Liang Age: 38 Nationality: China Court where warrant was issued: Lewes Crown Court Country believed to be in: UK Estimated cost to taxpayer: £2.6 million Biography: In October 2010 HMRC and UKBA worked together to intercept 650 kilos of harmful counterfeit tobacco, 300,000 cigarettes and five tonnes of hand rolling tobacco imported illegally from China. Leigang Liang was the key player in this operation and his gang was arrested, tried and unanimously found guilty. Liang fled the court before the jury found him guilty. He was sentenced in absence to seven years. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Mohammed Sami Kaak
 Name: Mohamed Sami Kaak Age: 45 Nationality: UK/Tunisia Court where warrant was issued: Isleworth Crown Court Country believed to be in: Tunisia Estimated cost to taxpayer: £822,000 Biography: Between March 2005 and September 2006, Mohamed Sami Kaak smuggled nearly 4 million cigarettes into the UK, evading an estimated £822,000 in duty. Kaak was arrested and charged with 12 counts of conspiracy to fraudulently evade Customs duty. He failed to appear in court in June 2008 so a warrant was raised for his arrest. Kaak was tried in absence where he received a four year sentence. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
John Nugent
 Name: John Nugent Age: 53 Nationality: UK/EIRE Court where warrant was issued: Manchester Crown Court Country believed to be in: USA Estimated cost to taxpayer: £22 million Biography: John Nugent fraudulently claimed more than £22 million in duty and VAT reclaims. Nugent was arrested and bailed, but he failed to appear in court and fled abroad. He is suspected to be in the US. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Vladdimir Jeriomin
 Name: Vladimir Jeriomin Age: 34 Nationality: Ukraine Court where warrant was issued: Liverpool Crown Court Country believed to be in: Russia / Lithuania Estimated cost to taxpayer: £4.8 million Biography: Jeriomin was a member of an organised crime group that defrauded the public purse by making fraudulent claims for Income Tax Self Assessment repayments. The estimated loss of public money is thought to be £2 million. A warrant was issued for the arrest of Jeriomin after he failed to surrender. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Wayne Joseph Hardy
 Name: Wayne Joseph Hardy Age: 49 Nationality: UK Court where warrant was issued: Ipswich Crown Court Country believed to be in: South Africa Estimated cost to taxpayer: £1.9 million Biography: Wayne Hardy and others conspired to cheat the public purse through tax fraud on tobacco products. Hardy assisted in sourcing a tobacco manufacturing and rolling machine and smuggling almost 16 tones of raw leaf tobacco into the UK. Hardy absconded before trail but was found guilty in absence and received a three-year sentence in October 2011. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Dimitri Gaskov
 Name: Dimitri Gaskov Age: 27 Nationality: Estonia Court where warrant was issued: Ipswich Crown Court Country believed to be in: Estonia Estimated cost to taxpayer: £197,000 Biography: Gaskov was part of a gang which concealed and smuggled an estimated three million cigarettes into the UK using desk top computers. After a long investigation Gaskov fled before the trial. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Hussain Asad Chohan
 Name: Hussain Asad Chohan Age: 44 Nationality: UK/Pakistan Court where warrant was issued: Birmingham Crown Court Country believed to be in: Dubai Estimated cost to taxpayer: £200 million Biography: Smuggler and fraudster Hussain Chohan is wanted after failing to appear in court for his part in an estimated £200 million fraud. Among other offences, Chohan imported 2.25 tonnes of tobacco worth £750,000 in duty alone. Chohan was tried in absence and found guilty. He received a total of 11 years in prison for smuggling and fraud offences and failing to appear in court. Along with his sentence Chohan has also been served with a £33 million confiscation order. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Zafar Baidar Chisthi
 Name: Zafar Baidar Chisthi Age: 33 Nationality: UK Court where warrant was issued: Kingston on Thames Crown Court Country believed to be in: Pakistan Estimated cost to taxpayer: £150 million Biography: Zafar Chisthi is wanted for his part in a large scale VAT fraud worth around £150 million. Chisthi failed to appear in court after being released on bail and was tried in absence and found guilty. He was sentenced to 11 years imprisonment for conspiracy to defraud the public purse and one year for perverting the course of justice. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Cesare Selvini
 Name: Cesare Selvini Age: 52 Nationality: Switzerland Court where warrant was issued: Dover Magistrates Court Country believed to be in: Switzerland Estimated cost to taxpayer: £600,000 Bio: Cesare Selvini is wanted for concealing and smuggling platinum bars, thought to be worth around £600,000. Selvini failed to appear in court in June 2005 so a warrant was issued for his arrest. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Gordon Arthur
 Name: Gordon Arthur Age: 60 Nationality: UK Court where warrant was issued: Maidstone Crown Court Country believed to be in: USA Estimated cost to taxpayer: £15 million Biography: In March 1999 UK Customs detected seven million illegally imported cigarettes with a duty and VAT value of over £1.1 million. A further 21 seizures of alcohol and tobacco were identified which can be attributed to Arthur with a duty value exceeding £5.5 million and a revenue loss nearer £15 million. In February 2000 Gordon Arthur broke his bail conditions and absconded; a warrant for his arrest was issued in June 2002. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Nasser Ahmed
 Name: Nasser Ahmed Age: 40 Nationality: UK Court where warrant was issued: Bristol Crown Court Country believed to be in: Pakistan / Dubai Estimated cost to taxpayer: £156 million Biography: Nasser Ahmed is wanted for his role in a large scale VAT fraud in the region of £156 million. Ahmed fled from court prior to verdict in February 2005. He was sentenced to six years in his absence in March 2005 and a warrant was issued for his arrest. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Adam Umerji aka Shafiq Patel
 Name: Adam Umerji aka Shafiq Patel Age: 34 Nationality: UK Court where warrant was issued: Liverpool Crown Court Country believed to be in: Dubai Estimated cost to taxpayer: £64 million Biography: Adam Umerji is a wanted fraudster who stole an estimated £64 million from the UK tax payer. Umerji was tried in absence where he received a 12 year sentence for VAT fraud and five years for money laundering offences. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>
Darsim Abdullah
 Name: Darsim Abdullah Age: 42 Nationality: Iraq Court where warrant was issued: Guildford Crown Court Country believed to be in: Iraq Estimated cost to taxpayer: £24 million Biography: Darsim Abdullah was part of a 12 man crime group that laundered between £1 million and £4 million a month from the proceeds of crime. Eleven members of the group either were found or pleaded guilty to the offence but Darsim absconded before sentencing. People can report leads on the Most Wanted fugitives via HMRC’s Customs, Excise and VAT fraud reporting hotline on 0800 595 000, by email or post <a href="http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=k9zpyaj9_go">bit.ly/PoT0Wx</a>, or through the Crimestoppers website <a href="http://www.crimestoppers-uk.org/">www.crimestoppers-uk.org</a>

Add a Comment

Sign in »

6 Comments

Filter by:

kevinkcc

Oh yes , a true patriot !!
Only interested in one thing and to hell with everyone else

November 12 2012 at 4:53 AM Report abuse Permalink rate up rate down Reply

fpmagn

Should have been given 30 yrs. He could be out when he is 58 or less, plenty of time to con more people.
He has probably got money stashed away to collect when he gets out.

November 06 2012 at 5:34 PM Report abuse Permalink rate up rate down Reply

carterturley

His biggest mistake was to steal from the Rich , Sirs, etc
If he'd have stolen from thousands of "normal pleb" members of society, he'd have increased his portfolio and have moved on to the next Company to strip by now, with a golden goodbye of course!!

November 06 2012 at 5:05 PM Report abuse Permalink rate up rate down Reply

jamontoast58

13 years? when the great train robbers stole money they got 34 years. say's it all one rule for one and another for the rest. Ican see it now behind closed doord, sorry chap someone had to take the fall, but be asured your money is safe when you get out in about 5 years

November 06 2012 at 1:54 PM Report abuse Permalink rate up rate down Reply