Accountant jailed for £6m tax fraud

Friday 28th January, 2016

A tax adviser and accountant to the media industry has been jailed for five years for evading more than £6 million in tax.

Mr Lunn ran a Sussex-based accountancy firm, Christopher Lunn & Co, whose 7,000-plus clients included many from the media and entertainment worlds.

The firm was investigated by HM Revenue and Customs (HMRC) and in 2010 the premises were searched and Lunn was arrested. HMRC uncovered evidence of a range of serious offences, which included the inflating of accountancy fees and the fraudulent use of trading losses – all intended to help Lunn and his clients evade paying their fair share of tax.

After five years of detailed investigation, Lunn was convicted at Southwark Crown Court in December 2015, where a jury found him guilty of four counts of Cheating the Public Revenue.

Jennie Granger, Director General, Enforcement and Compliance, HMRC said:

“Lunn believed he could make up fraudulent claims to benefit both himself and his clients. Hard work from HMRC officers across the department proved him wrong. This long-running investigation has already recovered £20m as Lunn’s former clients settle their tax liabilities, with more to come.

As Lunn's clients were unaware of his actions, they have been offered a chance to put things right for themselves by paying any tax and interest due.

Lunn's son who also worked at the firm, was convicted in December 2014 on six counts under the Fraud Act, after he had sent false invoices to HMRC to try to cover up the fraud in the practice.