‘Criminals are great pretenders’: Bradford businesses warned of HMRC scam

A leading figure with 27 years’ experience as a senior investigator for HMRC has urged smaller firms in and around Bradford to be on guard for a sophisticated scam letter requesting the verification of financial information.

Sajid Ghufoor, who leads tax investigations and dispute resolution services at Azets, raised the alarm after unmasking one received by a worried client.

The fake ‘compliance’ letter resembles the technical language and font of HMRC correspondence and could easily be mistaken for being authentic.

Mr Ghufoor said: “This is probably the best scam letter I have seen up until now.

“They have sought to use an HMRC team and use the right technical legislation and language – previously others have used non-UK tax legislation.

“The highly realistic letter is headlined ‘we need to verify your financial information’ and asks for business bank statements from the past 13 months, most recent full version of filed accounts, business VAT returns for the last four quarters, and photos of directors, from passports or driving licences.

“If you provide the fraudsters with these details, there is a strong chance of identity theft taking place of both the company and directors in order to clear out bank accounts and open up the opportunity for VAT fraud.”

How to spot a fake

Businesses have been advised by Azets – an international advisory, outsourcing, and compliance group with offices in Bradford, Leeds, and York – to always check the email address on letters.

Genuine ones have a hmrc.gov.uk ending rather than the one in the scam, which is companies-review@hmrc-taxchecks.org.

Mr Ghufoor said: “Sent randomly, the scam letters are deliberately aimed at spooking smaller businesses because of the compliance nature.

“The aim of the request is to panic staff, so they unwittingly divulge sensitive financial information and, by doing so, become victims of fraud and more vulnerable to further fraud attempts.

“Mimicking government messaging, these letters from criminals have the look and tone of authenticity, with ‘Indv and Small Business Compliance’ on the top right.”

The letter ends: “If you do not reply we will conduct an investigation and possibly freeze any business activity until we conclude our investigation. This letter is not proof of your identity.”

A HMRC spokesperson said: “Criminals are great pretenders.

“They use various methods to try and dupe citizens, and often mimic government messages to make them appear authentic.

“Tax scams come in many forms.

“Some offer a rebate, others tell you that your tax details are out of date, or threaten immediate arrest for tax evasion.

“Never let yourself be rushed.

“If someone contacts you saying they’re HMRC, wanting you to urgently transfer money or give personal information, be on your guard.

“We will also never ring up threatening arrest. Only criminals do that. 

“Unexpected contacts like these should set alarm bells ringing, so take your time and check HMRC scams advice on GOV.UK.”

Bradford Telegraph and Argus | Bradford | News