Evidence Record

UK HMRC Criminal Investigation  ·  2024  ·  Fabrication

Green Jellyfish & Kirby & Haslam: £100M R&D Tax Fraud

HMRC Investigation, UK 2024

R&D tax recordsBackdated document

What happened

HMRC conducted coordinated dawn raids on two Norwich-based R&D tax consultancy firms, Green Jellyfish Ltd and Kirby & Haslam Ltd, arresting 11 individuals. The investigation alleged that the firms had filed over £100 million in fraudulent R&D tax relief claims. The method: employing English literature graduates to write technically-formatted retrospective reports for businesses whose activities were clearly non-qualifying, including a horse stud farm and a butcher. The reports were formatted to appear as genuine technical assessments, with plausible technology references and appropriate language. HMRC became aware of the fraud through other intelligence. The reports themselves appeared authentic on their face and were not distinguishable from legitimate R&D claims documentation by standard review. A retrospective report produced by a third party looks identical to a contemporaneous technical journal kept by the team that actually performed the work. Blockchain-timestamped technical notebooks and design decisions created at the time of R&D activity would be immediately distinguishable from any retrospectively-written report.

Outcome

11 arrests. Investigation ongoing. The reports looked authentic in format, with plausible technology references, making them indistinguishable from legitimate contemporaneous documentation by standard review.

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