A luxury car dealer has been jailed for fraudulent trading after customers were left more than £1.5million out of pocket.
John Patrick Hawkins was the owner and director of Specialist Cars of Malton Ltd (SCML), and was known across North Yorkshire as a trader in expensive cars.
The businessman, who specialised in Porsche deals, now faces a number of years in jail after he pleaded guilty to fraudulent trading from 2018 onwards.
His company, SCML, collapsed into liquidation, prompting North Yorkshire Police to open an investigation, which uncovered his “fraudulent efforts to keep the failing business afloat”.
Many customers who were deceived by Mr Hawkins admitted to knowing the businessman for many years, mainly through his passion for Porsches.
North Yorkshire Police reported that some customers had even become close friends with Mr Hawkins, even staying over at his house.
Despite knowing many of his customers for a long period of time, the 66-year-old left them £1.5million out of pocket.
The force’s Economic Crime Unit found that trade had slowed down in recent years, with money from customers going to paying off an overdraft.
John Patrick Hawkins was sentenced to five years and three months in prison at Bradford Crown Court
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GOOGLE MAPS/NORTH YORKSHIRE POLICE
Bradford Crown Court heard that Mr Hawkins had used a number of “dishonest” methods to keep the business going.
These included selling vehicles given to him on a “sale or return” basis, or even selling vehicles stored at his business without the owners’ knowledge or permission.
When confronted by customers asking for their money back, Mr Hawkins gave personal guarantees and assigned ownership of other vehicles, despite not owning them himself.
SCML finally fell into liquidation in February 2020, with customers taking legal action to recover their vehicles, although some victims never received any compensation.
Mr Hawkins pleaded guilty to fraudulent trading from late 2018 onwards
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NORTH YORKSHIRE POLICE
North Yorkshire Police stated that some people taken advantage of by Mr Hawkins were relying on the sale of those vehicles to retire.
One instance saw a man, whom the businessman described as one of his closest friends, forced to sell his belongings to avoid losing his house.
Constable Emma Harris, fraud investigator at North Yorkshire Police, said: “In order to maintain the façade of a successful business, Hawkins lied to customers time and time again, and falsified documents to give credence to those lies.
“The financial and emotional impact on his victims has been nothing short of devastating, and it is right that he now faces a lengthy prison sentence.”
When interviewed by the police in August 2020, Mr Hawkins had a prepared statement, claiming he acted honestly and cooperated fully with administrators.
However, in court, the businessman, of Coneysthorpe, Malton, accepted that the total value of losses of his customers was £1.5million.
Last week, he was sentenced to five years and three months in prison and slapped with a Director Disqualification Order for 10 years.
A further Proceeds of Crime Act hearing will take place later this year to decide what happens to the confiscation of available assets.
