Cardiff entrepreneur jailed over Bounce Back Loan abuse
A Cardiff businesswoman who exploited the government’s Covid-19 Bounce Back Loan scheme has been jailed after admitting multiple counts of fraud. Rupali Wagh, 50, of Harrison Way, applied for and secured £216,250 in loans for four companies between May and September 2020, inflating turnover figures to unlock public funds intended to keep genuine firms afloat during the pandemic.
Wagh pleaded guilty to five counts of fraud at Cardiff Crown Court in November 2025. She was sentenced to two years and three months at Merthyr Tydfil Crown Court on Friday 17 July, following an investigation by the Insolvency Service that uncovered duplicate applications and the diversion of loan cash towards personal debts and investments.
Investigation findings and misuse of funds
According to the Insolvency Service, Wagh applied for multiple loans across her businesses and improperly obtained two loans for one company despite the scheme limiting firms to a single facility. Investigators found she inflated turnover to secure the borrowing and used part of the money to buy stocks and shares, while also settling personal credit card debts and loans. In interviews, she first tried to attribute one application to another person using her computer, before later admitting she acted alone.
"Rupali Wagh systematically targeted a scheme designed to help genuine businesses survive the pandemic. She lied about her turnover, obtained duplicate loans for the same businesses, and used the funds to pay off personal debts and buy stocks and shares... These are serious crimes and the Insolvency Service remains committed to bringing Covid fraudsters like Wagh to justice no matter how long it takes."
The Service confirmed it is seeking to recover the funds under the Proceeds of Crime Act 2002.
Courts, dates and key amounts
| Event | Detail |
|---|---|
| Fraud period | May–September 2020 |
| Total loans obtained | £216,250 |
| Plea hearing | Cardiff Crown Court, November 2025 |
| Sentence | 2 years 3 months, Merthyr Tydfil Crown Court, Friday 17 July |
Public money, local impact
The Bounce Back Loan scheme was designed to provide emergency liquidity to smaller firms during the Covid crisis. Abuse of the programme has been a persistent concern nationally, with authorities moving to reclaim misspent funds and bring offenders to court. This case underlines the consequences for individuals who misrepresent their finances and then channel taxpayer-backed support into personal liabilities or investment activity unrelated to business survival.
For Cardiff’s business community, the sentence serves as a reminder that documentation submitted for state-backed finance will be scrutinised and that duplicative or inflated claims risk criminal prosecution. While the scheme offered rapid access to cash to protect jobs, investigators continue to revisit applications and transaction histories where red flags emerge.
What happens next
Confiscation proceedings are being pursued by the Insolvency Service under the Proceeds of Crime Act 2002 to recoup the £216,250. The sentencing also signals the courts’ readiness to impose immediate custody where fraudulent conduct is deliberate, repeated and involves the diversion of public support away from intended recipients.
- Five fraudulent applications across four companies, including a duplicate loan for one firm.
- Misuse included paying off personal debts and purchasing stocks and shares.
- Insolvency Service emphasises ongoing enforcement against pandemic-related fraud.
Residents and business owners with information about suspected Covid support fraud are encouraged by authorities to cooperate with investigative bodies as recovery actions continue.
