The court heard Justin Barker was “once wealthy” and failed to pay up over £70
A high-flying company director has walked free from court despite cheating the public purse out of tens of thousands of pounds.
Justin Barker, a respected figure within the insolvency industry, failed to pay up more than £70,000 in income tax and VAT over the span of several years. But the 49-year-old was spared prison at Liverpool Crown Court yesterday afternoon, Friday.
Rachel Cooper, prosecuting, told the court that the businessman – who describes himself as self-employed, with earnings of £30,000 per year – has not fielded any self-assessment tax returns since 2012. He failed to pay a total of £66,491.06 in income tax and £4,600 of VAT through his business IP Partners, which employs 30 people and boasts an annual turnover of more than £1million, between 2013 and 2018.
Consultant Barker is a board member at Association of Insolvency Professionals. Ms Cooper said of the dad-of-two: “He is and was holding a position of responsibility within the industry.”
His offending came to light in 2017, when he was interviewed by HM Revenue and Customs in relation to a separate investigation. This probe saw Hugh Black, from Rainford, jailed for five years after he defrauded businesses out of nearly £600,000 through his company Ecogreen Renewables Ltd
He and his wife Helen, also a director, spent this ill-gotten cash on luxury holidays. She was handed 14-month imprisonment suspended for two years.
Barker, of North Promenade in Lytham St Annes, told investigators while being quizzed that he “thought he was three years behind and wanted to get it done”. But the sum remains unpaid.
Dominic D’Souza, defending, told the court that his “once wealthy” client had a “problem with cocaine” which “destroyed his marriage”, although he is now “abstinent”. The barrister added: “He never intended to get away with this.
“He has never been in trouble before. His reputation would be crashed in that industry.
“He has got himself into a whole load of difficulty. His intention was to trade out of this.
“He is trying to get back on his feet. Mr Barker has in the past had an awful lot of money, and also lost of lot of money in one way or another.
“There is nobody more than him who wants this done in circumstances where he has done what he is supposed to have done. He genuinely is not someone who does not care and is sticking two fingers up to the court.”
Barker, who has no previous convictions, admitted evading income tax and VAT shortly before he was due to stand trial. He was handed 20-month imprisonment suspended for two years.
Sentencing, Judge Garrett Byrne said: “You have been working in the insolvency industry for over 20 years, advising businesses. You must have known perfectly well what your tax obligations were.
“This was a deliberate, intention decision on your part over a period of many years. There can be no element of confusion or a mistake on your part.
“You are of good character and have suffered from some ill health. It appears you have taken steps to address the issues you have been facing.
“I accept you were suffering from depression and stress at the time of your offending. References speak very highly of you, you are a family man.
“You knew perfectly well and your experience would tell you that what you were doing was wrong. This was committed over a very long period of time indeed.
“It is said you are remorseful. Of course, the best way remorse would have been demonstrated had you come to court in a position to tell the court that your income tax returns have been submitted.
“All I have heard today is a load of excuses. You only seek to blame other people for that failure, a very unimpressive position to be in.
“Fraud against the public purse is always very serious, particularly if carried out by an insolvency practitioner. I doubt you will engage in this conduct again,
“There is one feature I cannot ignore, and that is the passage of time. You have proceedings hanging over you for years, and that must weigh in favour of suspending the sentence.”
Barker must also complete 160 hours of unpaid work and a rehabilitation activity requirement of up to 20 days. He told the judge “thank you your honour” after receiving his sentence.