Kevin Wall - the former boss of ISP RedHotAnt - was jailed for five years today for his part in a £1.3 million VAT fraud.
Wall, 29, of Hythe in Kent, was also disqualified from being a company director for ten years.
JAK Productions Ltd was forced into liquidation by MCI WorldCom, which was owed £5.5 million for telecoms services.
During the three-week trial at Canterbury Crown Court it also emerged that JAK Group owed £6 million to Level 3 Communications and £1 million to Cable and Wireless.
The ISP was also subject to an investigation by Trading Standards.
Said Customs and Excise spokesman Nigel Knott: "Fraud on this scale is nothing more than theft from the taxpayers.
"Investigations of fraud are complex and time consuming, but customs are committed to identifying and prosecuting fraud cases to protect the public revenue," he said. ®
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