Judge credits the accountant for his repayment and remorse
An Auckland accountant has been sentenced to eight months of home detention after admitting to 10 charges of dishonestly taking or using a document.
Brett William Knock appeared for sentencing in the Auckland District Court early this week over charges in relation to 12 fraudulent applications made on behalf of several companies in an attempt to defraud the COVID-19 Wage Subsidy Scheme of more than $68,000.
According to a news release, Knock provided accounting services for various companies and individuals, including filing tax and GST returns with Inland Revenue. Between late March and early May 2020, Knock submitted 12 fraudulent wage subsidy applications to the Ministry of Social Development (MSD). Eight applications were successful, resulting in payments totalling $40,629.60, while four were unsuccessful.
Nine applications were made on behalf of companies that Knock had, or claimed to have, an interest in, while three were for companies controlled by others, the news release said. All 12 applications listed Knock as the contact person and nominated the same bank account. None of the directors and shareholders of these companies received any wage subsidies funds from him.
Knock said in his interview with the MSD that he had obtained verbal instructions from his clients to send the applications on their behalf, but he admitted to not having checked if his clients were eligible before applying.
He eventually repaid $36,429.60 of the total wage subsidy funds he received from MSD.
At sentencing, Judge Simon Lance gave Knock credit for his guilty plea and repayment as well as his remorse and efforts at rehabilitation.
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