Construction Boss Jailed for CIS Tax Fraud Scam

A CONSTRUCTION BOSS has been jailed and three others sentenced for trying to steal more than £250,000 in a CIS tax fraud conspiracy.

The three men and a woman, working in Northern Ireland construction, were charged after false claims for CIS tax repayments were uncovered by HMRC investigators.

The fraudulent claims for £260,000 in total, were made under the HMRC Construction Industry Scheme (CIS) between January 2015 and September 2017.

Edward Copeland, aged 51 with an address in Carryduff, masterminded the conspiracy and was arrested when HMRC officers searched his home in June 2017.

On the same date, 52-year-old Deborah Ramsey, from Newbuildings, was arrested following a search at her place of work, a building firm in Derry.

Mobile Phone Evidence 

Evidence uncovered on mobile phones led HMRC to arrest Copeland and Ramsey.

Further evidence seized during the searches resulted in two more men being charged with fraud – Michael Gerard Donaghy, aged 57 who lived in Claudy, and 34-year-old Belfast man Stephen Matthew Fegan.

HMRC found that Edward Copeland was using two businesses to exploit the CIS, which sees contractors deducting tax from payments to subcontractors that should then be passed on to HMRC.

CIS Tax Fraud Scam

Lucie Irving, Assistant Director, Fraud Investigation Service, HMRC, said: “The majority of individuals and businesses pay the tax that is due – however there remains a determined minority like Mr Copeland who refuse to play by the rules.

“HMRC is on the side of the law-abiding majority. By tackling the most serious forms of tax crime we are creating a level playing for businesses and citizens. We are determined that they shouldn’t be disadvantaged or impacted by the criminal actions of others.

“We are successful in nine out of ten cases we bring to court and this case is another example of that success.”

The case reached its conclusion yesterday (7 September 2022) when Mr Copeland was jailed for two years for his role in the fraud and ordered to pay a £150,000 confiscation order. The other defendants were sentenced after pleading guilty at earlier hearings.

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