A KIDDERMINSTER wholesale florist director has been fined £1,000 and ordered to pay £18,629 in compensation to HM Revenue and Customs for ignoring a trading ban.

George David Hales, of Sheepwash Lane, in Cookley, had been warned by HMRC that unless he put up a cash security to safeguard payment of VAT, he could no longer supply taxable goods or services through his Tipton-based wholesale florist, G&M Hale.

However, 50-year-old Hale continued to trade without a security after receiving a notice.

Although he registered for VAT when he started his business in 2002, by 2011 he had fallen behind with his VAT returns, and by December 2016 the VAT debt had risen to £60,000.

HMRC served Hale with a notice of requirement in January 2017, demanding a security of £89,176 or stop trading. In interview, he admitted to receiving the notice and not paying it.

Both the director and the company were fined at Dudley Magistrates’ Court on Friday (October 13), where Hale was also ordered to pay £135 in costs and a £100 victim surcharge.

The company is becoming insolvent and received a minimal fine of £100, with £135 costs and a £30 victim surcharge.

Richard Young, assistant director, Fraud Investigation Service, HMRC, said: “We will take action to ensure the correct tax is paid and investigate those who are subject to a trading ban because they run up a tax debt.

“HMRC is committed to ensuring everyone pays the tax they owe, which helps to ensure a level playing field for all businesses.

“If you know of anyone who is evading tax, please contact the HMRC Fraud Hotline on 0800 788 887.”