Conman who helped rip off more than 100 people, insurers, a bank and councils spared immediate jail term

Paul Dickinson, of The Avenue, Leigh, worked as a manager for rags-to-riches property mogul Tahir Khaliq.

The 42-year-old aided Khaliq as he fabricated letters and tenancy agreements and spun lies in order to earn cash for his string of firms operating from the same office in Bury.

Khaliq, 49, ordered staff to accept but never return holding deposits from a string of renters seeking to secure accommodation and arranged for fake home insurance claims to be submitted with fabricated quotes and invoices, with Dickinson's help.

Khaliq admitted charges of fraud, conspiracy and theft and was jailed for three years and nine months at Bolton Crown Court yesterday, Monday.

Dickinson pleaded guilty to theft and six counts of fraud and was given a two-year jail term, suspended for two years.

He was ordered to comply with six months’ supervision and complete 240 hours of unpaid work.

Judge Graeme Smith said one of the reasons why he was suspending Dickinson's prison sentence and chose not to impose a curfew was because he dedicates almost all of his spare time to his 10-year-old twin sons – one of whom is seriously ill – and must be available to take the child to hospital at a moment’s notice.

Prosecutor Andrew Thomas told the court that among the fake insurance claims were ones made for houses in Ainsworth Avenue in Atherton.

Genuine-looking inflated quotes were submitted from two invented firms and then if needed leases were falsified to try to prove the properties were occupied at the time.

Mr Thomas said: "The two most blatant parts of this fraud were the lies told about two things: about who was living in the property and the fabrication of estimates and invoices for repair work.

"Internal e-mails showed Paul Dickinson was the author of the bogus documents and Mr Khaliq was involved.

"In reality the works were done by their own handymen at a fraction of the cost."

The court heard Khaliq operated a scheme in which prospective tenants were encouraged to pay a holding fee of typically £200 or £400 as a deposit so a house or flat would be taken off the market and their application would progress.

Mr Thomas said sums were collected from several customers for the same property – as many as seven in a month – who were later told they had failed a credit check or had not provided a guarantor and their money was not refundable.

Khaliq, from Bury, used the pseudonym 'Jack Daniels' in these transactions in a bid to hide his identity from complainers.

Mr Thomas said: "It was blatant dishonesty. Lies were told to fob off those who wanted their money back.

"Many of the victims were vulnerable people, mainly people on low incomes who were struggling to obtain adequate housing.

"Many of the tenants were on housing benefits and not well off and very often vulnerable because of financial circumstances or other difficulties."

The court heard Khaliq and Dickinson collected rent for 119 properties they managed on behalf of liquidators Ernst and Young but failed to pass it on.

Khaliq also instigated a council tax avoidance scheme which deprived Bury and Bolton councils of funds alongside other local authorities and arranged for letters from his accountant to be counterfeited to support a £3million Co-operative Bank loan application.

Defending Dickinson, Mark Rhind said: “He has accepted his responsibility and has expressed remorse.

“He was, in essence, an employee of Mr Khaliq. He was paid a relatively modest salary and did more or less what he was told.

“He did not just engage in what he thought at the time was ‘sharp business practices’, he accepts now he crossed that line into criminality.”

On top of his prison sentence Khaliq has to pay back £100,000 as well as court costs of £125,000 and was disqualified from being a company director for 10 years.

Dickinson was ordered to pay £24,280 and prosecution costs of £15,000 and was disqualified from being a company director for six years.