A man who conned people into investing in a fraudulent business venture before fleeing his trial has been sentenced to four years in prison. Nazir Daud, 59, sold fraudulent franchise licences to his victims, falsely claiming they could earn up to £2,000 a month, according to Leicestershire County Council.
Daud, who was found guilty of fraud in his absence in December 2022, was arrested in October 2024. His company, Payrolls Direct Limited, was set up in 2014 and advertised franchise licences for a cloud-based payroll system, selling them for between £5,995 and £9,995.
Franchisees were promised the ability to sign up clients and process payrolls, with Daud’s company taking 20% of the fees. However, out of 18 franchisees, only one successfully signed up any clients, and the promised help and training were never provided. The total fraud amounted to over £320,000.
At Leicester Crown Court, Daud’s company was fined £973,000, and Daud was banned from being a company director for 15 years. He was also ordered to pay prosecution costs of £30,046.
In a related case, Anthony Raybould, 65, of Bournemouth, received a 22-month suspended sentence for his role in the scheme. He admitted fraud by false representation and fraudulent trading, avoiding prison with a sentence suspended for two years.