By . Liz Hull . UPDATED: . 19:33 EST, 30 November 2011 . They had two children in private education, owned homes worth more than £500,000 and enjoyed running around in luxury cars. Friends could have been forgiven for thinking sisters Andrea and Roberta Vaughan-Owens had won the lottery. In reality, however, their lavish lifestyle was funded by conning taxpayers out of £130,000 in benefits and tax credits. Guilty: Roberta Vaughan-Owen, left, and her sister Andrea have both been given three and a half years for their part in an attempted £161m VAT fraud . On top of this they managed to trick insurance firms into paying their mortgages by claiming on employment protection policies – despite having no jobs. The scams were going swimmingly until the authorities smelt a rat and began to investigate. But instead of lying low, the sisters dreamt up an even more audacious fraud – to try to get their hands on an astonishing £161million by claiming back VAT on a fictitious advertising deal with Liverpool Football Club. And, perhaps unsurprisingly, that’s where they came unstuck. Yesterday the sisters were both given three and a half year jail terms after being found guilty of fraud. Judge Niclas Parry, sitting at Caernarfon Crown Court, attacked the ‘lax manner’ in which insurance companies, banks and ‘above all Government departments permitted such blatant fraud’. He said: ‘It’s no wonder this country is financially on its knees.’ In court, the pair were described as more ‘Laurel and Hardy than Bonnie and Clyde’. A jury was told they had a modest upbringing but soon acquired a taste for the high life. Their fraud began in 2003 when the sisters started taking advantage of the ‘inept’ tax administration system. Between April 2003 and July 2008 they conned the taxpayer out of £120,000 in tax credits by pretending to work 16 hours a week for their own recruitment firm, when, in reality, they did nothing. Lavish: The sisters lived in this £400,000 detached property in Colwyn Bay and also have a second home worth £137,000 in nearby Caernarfon . Administrators took their claims at face value, but, had they checked, would have discovered the pair were telling another Government department they were too ill to work in order to claim another £10,000 in incapacity benefit. The sisters used the cash to pay for two of Andrea’s children to attend a private school in North Wales. They lived in a £400,000 detached property in Colwyn Bay, owned a second home worth £137,000 in nearby Caernarfon, enjoyed expensive spa treatments at an upmarket hotel, and drove around in luxury cars. When authorities started investigating the tax credits scam in 2006, the sisters worked out another way to live rent free. Despite being unemployed, Andrea managed to get a mortgage on the Colwyn Bay property by telling the bank she was a self-employed recruitment boss earning £120,000 a year. She then took out insurance cover, ensuring the mortgage would be paid if she lost her ‘job’. Insurance firms handed over £30,808 in mortgage payments before the con was uncovered in the summer of 2007. And that’s when the sisters came up with their VAT con. The pair thought that if they could secure invoices for multi-million pound properties and expensive cars, they could then claim back VAT as start up costs for two new businesses. They inquired about purchasing several stately homes as well as a dozen Land Rovers and a £325,000 Rolls Royce Phantom. However, when no one would provide them with invoices and banks and car dealerships refused them credit they submitted an application for a VAT rebate on a fictitious £920million deal to advertise their recruitment firm at Liverpool FC. The rebate was for £161million. The demand set alarm bells ringing at the tax office and officials began to investigate. Both women said the claim had been a mistake because they did not understand the forms. But a jury rejected their version of events. Andrea, 42, was found guilty of eight counts of fraud, while Roberta, 37, a former police civilian worker, was convicted of five charges.
Tried to claim back tax on fictitious advertising scheme with Liverpool FC .
Given three and half year terms for their crimes .
By . Liz Hull . UPDATED: . 19:33 EST, 30 November 2011 . They had two children in private education, owned homes worth more than £500,000 and enjoyed running around in luxury cars. Friends could have been forgiven for thinking sisters Andrea and Roberta Vaughan-Owens had won the lottery. In reality, however, their lavish lifestyle was funded by conning taxpayers out of £130,000 in benefits and tax credits. Guilty: Roberta Vaughan-Owen, left, and her sister Andrea have both been given three and a half years for their part in an attempted £161m VAT fraud . On top of this they managed to trick insurance firms into paying their mortgages by claiming on employment protection policies – despite having no jobs. The scams were going swimmingly until the authorities smelt a rat and began to investigate. But instead of lying low, the sisters dreamt up an even more audacious fraud – to try to get their hands on an astonishing £161million by claiming back VAT on a fictitious advertising deal with Liverpool Football Club. And, perhaps unsurprisingly, that’s where they came unstuck. Yesterday the sisters were both given three and a half year jail terms after being found guilty of fraud. Judge Niclas Parry, sitting at Caernarfon Crown Court, attacked the ‘lax manner’ in which insurance companies, banks and ‘above all Government departments permitted such blatant fraud’. He said: ‘It’s no wonder this country is financially on its knees.’ In court, the pair were described as more ‘Laurel and Hardy than Bonnie and Clyde’. A jury was told they had a modest upbringing but soon acquired a taste for the high life. Their fraud began in 2003 when the sisters started taking advantage of the ‘inept’ tax administration system. Between April 2003 and July 2008 they conned the taxpayer out of £120,000 in tax credits by pretending to work 16 hours a week for their own recruitment firm, when, in reality, they did nothing. Lavish: The sisters lived in this £400,000 detached property in Colwyn Bay and also have a second home worth £137,000 in nearby Caernarfon . Administrators took their claims at face value, but, had they checked, would have discovered the pair were telling another Government department they were too ill to work in order to claim another £10,000 in incapacity benefit. The sisters used the cash to pay for two of Andrea’s children to attend a private school in North Wales. They lived in a £400,000 detached property in Colwyn Bay, owned a second home worth £137,000 in nearby Caernarfon, enjoyed expensive spa treatments at an upmarket hotel, and drove around in luxury cars. When authorities started investigating the tax credits scam in 2006, the sisters worked out another way to live rent free. Despite being unemployed, Andrea managed to get a mortgage on the Colwyn Bay property by telling the bank she was a self-employed recruitment boss earning £120,000 a year. She then took out insurance cover, ensuring the mortgage would be paid if she lost her ‘job’. Insurance firms handed over £30,808 in mortgage payments before the con was uncovered in the summer of 2007. And that’s when the sisters came up with their VAT con. The pair thought that if they could secure invoices for multi-million pound properties and expensive cars, they could then claim back VAT as start up costs for two new businesses. They inquired about purchasing several stately homes as well as a dozen Land Rovers and a £325,000 Rolls Royce Phantom. However, when no one would provide them with invoices and banks and car dealerships refused them credit they submitted an application for a VAT rebate on a fictitious £920million deal to advertise their recruitment firm at Liverpool FC. The rebate was for £161million. The demand set alarm bells ringing at the tax office and officials began to investigate. Both women said the claim had been a mistake because they did not understand the forms. But a jury rejected their version of events. Andrea, 42, was found guilty of eight counts of fraud, while Roberta, 37, a former police civilian worker, was convicted of five charges.
£161million by claiming back VAT on a fictitious advertising deal with Liverpool Football Club. given three and a half year jail terms after firm at Liverpool FC. The rebate was for