Builder admits fraud after receiving nearly £600,000 for unfinished work in Suffolk
One customer was asked to pay £25,000 in VAT
Last updated 8th Jun 2023
A builder who worked in Suffolk has pleaded guilty to fraud, after receiving nearly £600,000 from customers for contracts he never completed.
45 year old Gary Middleton, of Merlin Close, Rugby, traded as GK Builders, G & K Builders, Middleton Building Services, AGM Custom Construction and AGM Bespoke Construction Limited, and operated across Suffolk, previously living in Saxmundham.
Suffolk Trading Standards began investigating him reports of customers who'd paid him for building work that he never finished.
To placate his victims, Middleton told them he “would only work on one property at a time”, but consumers quickly became aware that he was working on multiple projects to the detriment of their own building works.
The investigation also uncovered that Middleton was using various tactics to extract more money from customers, including falsifying supplier invoices and using a fake VAT number, with one customer asked to pay £25,000 in VAT alone.
He also declared himself bankrupt but failed to disclose this to consumers despite this being a legal obligation.
Once Middleton realised that Suffolk Trading Standards was investigating him, he reverted to using the name Alan Middleton for business, having previously used Gary Middleton.
Graham Crisp, Head of Suffolk Trading Standards, said:
“Sadly, we have spoken to several consumers who were taken advantage of by Middleton, with many using their life savings or taking out loans to pay for the work in an attempt to achieve their dream home.
“Middleton’s greed saw him do whatever he could to extract money from his victims, including falsifying invoices to claim £170,000 in VAT despite not being registered.
“He also forged insurance documents to mislead people into thinking their properties were protected, and endangered lives by incorrectly stating that building control was not required for projects when this was in fact needed.”
At a hearing at Hendon Magistrates Court (acting as a Nightingale Crown Court) on Tuesday, 6th June, Middleton pleaded guilty to 4 offences of Fraud by False Representation under Fraud Act 2006 and 1 offence of theft.
At a previous hearing he and his wife Katie Middleton both pleaded guilty to two counts of fraudulently obtaining a mortgage for themselves worth £400,000.
Both will appear in court for sentencing on 14th July.