Fraudulent businessman who claimed £40,000 in VAT invoices for items he had never purchased has been spared jail

Judge Mr Justice William Davis said Steven Philip Pulford had 'persistently'” defrauded the tax payer on a regular basis and that he ought to have sentenced him to immediate custody.

But given 38-year-old Pulford’s severe medical condition, which was not revealed in open court, he decided to suspend his 18 month sentence for two years.

Preston Crown Court heard that over a four year period between June 2011 and May 2015, Pulford, of Standenhall Drive, Burnley, had submitted a series of fraudulent invoices.

The court heard that the claims were made via his now defunct company What the Funk Limited, which had been trading as DJ and nightclub promotion.

Defending, Laura Heywood said her client, who has no previous convictions had committed the fraud to pay the bills and he had not lived a 'luxurious lifestyle'.

Ms Heywood said: “It was a legitimate company originally that was founded in 2008. The defendant has had an illness throughout his life. Once he got to the age of 18 his health slowly deteriorated. Around the time of this offence in 2011 it rapidly deteriorated.

“He was supporting his partner at the time and her three children. It got to the stage he couldn’t provide financially to support their daily lives. That is what caused him to commit this offence. This defendant wasn’t living any kind of lavish lifestyle. He was doing it to pay the day to day bills.

“He recognises it was a foolish decision he made. He is full of regret. He has fully cooperated with the investigation over the last two years.”

Pulford pleaded guilty to one count of VAT fraud and one count of to producing invoices which he knew to be false, with intent to deceive.

Mr Justice Davis said: “I really ought to send you immediately to prison. Over a period of four years you regularly defrauded us the tax payers by making false VAT claims. This was a persistent form of fraudulent conduct.

“You did plead guilty right from the start. The appropriate sentence is immediate custody but given your very severe medical condition I will sentence you to 18 months imprisonment but I will suspend it for two years.”