Umbrella firm Legitas have gone bankrupt owing £18 million. The Legitas Group was exposed for tax dodging by Nick Sommerlad of the Daily Mirror. A £16 million black hole was in the accounts of sister firm, Work Legal E, which was blamed on ”embezzlement” by two shadow directors.
These two companies, which were run by struck-off solicitor David Allen, operated a controversial tax avoidance scheme which HM Revenue & Customs has called unlawful.