Mohammed Shahjahan has had his bankruptcy extended for eight years for making a false insurance claim.

The ban follows an investigation by the Insolvency Service, which found Mr Shahjahan made a false insurance claim in which he declared that he had been injured in a road traffic accident in November 2011.

The undertaking given on 9 December 2016, means Mr Shahjahan will be bound for 8 years, by the restrictions set out in insolvency law that a bankrupt is subject to until they are discharged from bankruptcy ? normally 12 months ? until 2024. In addition, he cannot manage or control a company during this period without leave of the court.

In July 2014, the court decided that the insurance claim was false and Mr Shahjahan was ordered to pay third party costs. A counter-claim was made by the insurance company and in September 2015, Mr Shahjahan was ordered by the court to pay damages and further costs. Mr Shahjahan failed to pay the interim payment, causing the insurance company to petition for his bankruptcy. A bankruptcy order was made against him on 13 January 2016.

The total liability to the insurance company is ?51,870 which has materially contributed to Mr Shahjahan?s deficiency in bankruptcy.

Commenting on the case, Kevin Read, Official Reciever, at the Insolvency Services said:

The Insolvency Service always looks very closely at individuals who demonstrate dishonesty and takes action where wrongdoing is uncovered.