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Friday, 24 June 2011

FRAUDSTER Paul Cope, who netted more than £28 million in leasing and mortgage scams, has told a judge he has no money salted away and no hidden assets.




The disgraced financier from Stafford, now serving a 64-month jail term, faces confiscation of all his assets under the Proceeds of Crime Act.
The hearing at Stafford Crown Court has been told that Cope's agreed benefit from a leasing fraud is £25,402,412, plus £3,081,028 from a separate mortgage fraud involving his former luxury home in Barn Bank Lane.
Former Stafford Rangers shirt sponsor Cope, who headed the Kingdom finance group of companies based in Stafford, orchestrated the scheme to dupe banks and finance houses in to paying for non-existent hospital equipment through bogus lease agreements.
Two other Stafford businessmen, Andrew Oxlade and Brian Challiner, were also involved and have each been jailed.
Mr James Fletcher, for the Crown, told the Proceeds of Crime hearing that some of Cope's assets totalling £401,263 had already been agreed.
But he was disputing two further sums of £121,000 and £100,000 - and there could also be further "hidden assets."
Whilst he was on bail awaiting trial, Cope breached a restraining order on his financial affairs and ended up being remanded in custody.
Mr Fletcher told Judge John Maxwell: "Is he the type of person who would seek to put assets out of the reach of the Crown or seek to hide these assets? It is up to Cope to persuade you that he doesn't have any other assets."
But giving evidence, Cope said he had no hidden assets at all.
He admitted some breaches of the restraining order, including putting a deposit on a Range Rover car for use by his wife Nicola and their four children and paying a vet about £300, but it was done out of "desperation."
Asked why he had gone to an estate agent looking for houses worth up to £750,000, Cope said he was only looking to rent a property, because he knew his own house was going to be repossessed. "I could see the writing on the wall," he said.
Cope was also asked about the closure of his Kingdom Childcare nurseries in Stoke on Trent and the removal of equipment in January 2009.
"I was at panic stations. RBS (Bank) contacted me and said they were withdrawing the overdraft which put me in a very difficult position.
"I rang up the lady who runs it and said due to cashflow we have to close down the business." He said two security cameras, two old computers and some plastic toys were removed and put in his garage, but he didn't know what happened to them.
Forensic accountant Mark Simpson, who examined Cope's financial records, told the court: "He had a lifestyle which would have been expensive to maintain. He spent significant amounts of money on his main residence, on his property in Marbella and on various motor cars."
Among the items Cope splashed out on were a swimming pool, a spa bath and a tennis court.
But Mr Hugh Barton, for Cope, asked him: "Have you seen anything that points to hidden assets?" "No," said Mr Simpson.
Judge Maxwell reserved judgement until next month.

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