Spalding businessman sentenced for tax evasion scam

Marius Legavicius ANL-150109-164834001
Marius Legavicius ANL-150109-164834001

A Spalding businessman, who ran a fuel laundering plant from his car wash, has been sentenced.

Marius Legavicius, 34, of Hall Gate, Moulton, admitted using the two plants to strip the chemical markers from red diesel – a lower taxed fuel for use in off-road vehicles such as tractors – and selling it as normal road diesel after an investigation by HM Revenue and Customs (HMRC).

He was sentenced to six months in prison suspended for 12 months and 100 hours of unpaid work at Lincoln Crown Court on Friday, May 5)

The court also ordered him to pay a victim surcharge of £115 and to forfeit the diesel and the equipment for destruction.

Legavicius admitted operating the machines for only one day a week over 23 weeks, which equated to £3,229 Excise Duty evaded.

Red diesel laundering plants pose a safety risk as they involve highly flammable and potentially explosive liquids. The by-products of the laundering process are then often disposed of by fly-tipping.

Red fuel, also known as dyed gas oil or rebated fuel, is sold with a lower level of duty for use only in vehicles used by the agriculture and construction, forestry and fishing industries to help them make a profit.