Regulation  

Former City trader hit with £2m bill after hiding assets

Former City trader hit with £2m bill after hiding assets

A former City trader has been hit with a £2m confiscation order for hiding assets from his bankruptcy trustee and his creditors.

Tahseen Goni, 41, from Luton, has been ordered to pay a confiscation order of more than £2m and prosecution costs of more than £118,000.

He has also been sentenced to two years in prison before being hit with a confiscation order at a hearing at Cambridge Crown Court in July.

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Deputy chief investigating officer Ian West from the Department for Business Innovation and Skills said: “This is a substantial penalty and bankrupts should be in no doubt, that if they conceal assets from their trustee in bankruptcy that the Insolvency Service and the Department for Business, will take firm action to have them prosecuted, their benefit confiscated and their creditors recompensed.”

In October 2008 Mr Goni, a previously successful ‘spread betting’ trader, incurred substantial losses and was left with a debit balance of more than £238,000 on his personal account with a stockbroking and forex company.

The company obtained judgment in default against Mr Goni and threatened to petition for his bankruptcy.

An investigation found Mr Goni had sufficient assets to pay off his creditors during the period of his bankruptcy but despite his duty to declare them to his trustee in bankruptcy, he hid them.

Mr Goni put in place arrangements to allow him to continue to trade in the lead up to and following his bankruptcy which involved using both trading accounts and bank accounts in the name of a family member.

He had been made bankrupt on 27 July 2010 on a petition filed against him by IG Markets Ltd.