Peter Connelly, the renowned video game composer and sound designer known for his work on the Tomb Raider Remaster series and Tomb Raider: Chronicles, has received a 16-month prison sentence. The conviction stems from his fraudulent application for a government COVID-19 support loan.
Based in Peterlee, County Durham, Connelly illicitly secured a second Bounce Back Loan (BBL) totaling £37,500 (approximately $55,000) in June 2020. He achieved this by significantly inflating his company`s revenue, a direct breach of the BBL scheme`s regulations which strictly limited businesses to one loan. He had already legitimately obtained an initial loan of £22,000 the month prior.
Investigations by the UK Insolvency Service revealed that Connelly falsely declared his company`s 2019 turnover as £150,000, when its actual earnings were just over £58,000. Furthermore, he untruthfully claimed he had not previously applied for a BBL. These deceptive actions led to a criminal investigation by the Insolvency Service, which is tasked with overseeing the proper use of COVID-19 relief funds.
At a recent court hearing, Connelly was not only sentenced to imprisonment but also barred from acting as a company director for six years. The Insolvency Service underscored the grave nature of his fraud, emphasizing that these loans were intended to aid struggling small businesses during the pandemic, not for personal exploitation. Chief Investigator David Snasdell condemned Connelly’s `blatant disregard` for the established rules.
In his defense, Connelly stated he had taken considerable financial risks for a high-profile project involving a reimagining of the Tomb Raider soundtrack. He claimed to have sold his car and taken out personal loans, anticipating the project`s success, which he asserted was hampered by the pandemic. However, the court determined that his financial mismanagement did not justify committing fraud.
His company, Peter Connelly Limited, went into liquidation in August 2021, with neither of the two loans having been repaid. In June 2022, Connelly entered into an Individual Voluntary Arrangement (IVA), agreeing to repay his outstanding debts through a structured payment plan managed by an insolvency agency.