Indian restaurant owner in UK spent Covid aid on drinking


The restaurateur then filed for bankruptcy of its own in July 2021


The owner of an Indian restaurant in Wales has been placed under nine-year bankruptcy restrictions after spending the bulk of taxpayer support from a COVID fund on drinking and gambling.

Rathudi Mahesh Manglanand, 47, was a freelance trader who ran Indian restaurant Chutney Roti in Cardiff. According to the UK Insolvency Service, the restaurant had already gone out of business before the pandemic began and was therefore not eligible for COVID-19 financial relief schemes.

However, in April 2020, Manglanand applied for a £25,000 grant from his local council and the following month applied for a £18,000 bounce-back loan.

The restaurateur then filed for bankruptcy of its own in July 2021, when the Insolvency Service began investigating and discovered “misuse” of COVID-19 financial support packages.

“COVID-19 support programs have generously provided taxpayers’ money to support real businesses and anyone who abuses these programs should expect to be arrested and punished,” said Gavin Seymour, Deputy Official Receiver at the Service of ‘insolvency.

Manglanand admitted his business had already gone out of business and told investigators he had been drinking heavily and was “not thinking clear”. He estimated that he had lost around £30,000 playing the game over the span of a year.

Secretary of State for Business, Energy and Industrial Strategy Kwasi Kwarteng has accepted a nine-year bankruptcy restraint undertaking from the businessman, which begins June 20, 2022.

The Insolvency Department said that in its capacity as Rathudi Manglanand’s trustee in bankruptcy, the Official Receiver is assessing available assets in order to recover COVID-19 support funding.

Bankruptcy restrictions in the UK are wide ranging, with effects similar to a recognizance which imposes limits on an individual’s business activities for the duration of the restrictions.

(Except for the title, this story has not been edited by NDTV staff and is published from a syndicated feed.)


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