Farmouz Farhaad Mohammed – $256,000 Fraud and Prison
Farmouz Farhaad Mohammed aka Fred Mohammed was found guilty of 3 counts of fraud in June 2021. He was the Crane Trucks R Us director and was sentenced to imprisonment.
The company ran a wet hire, logistics and lifting services business in Victoria, New South Wales and Queensland. They were placed in liquidation on November 6, 2015.
The ASIC conducted an investigation in August 2015 where they found that Farmouz Farhaad Mohammed had dishonestly withdrawn funds from the company on numerous occasions.
He had withdrawn a total of $256,000 from the firm.
Furthermore, Farmouz Farhaad Mohammed had withdrawn the funds just 10 weeks before Crane Trucks R Us went into liquidation and was certainly insolvent.
When Crane Trucks R Us went into liquidation, the company owed $6,266,394.69 to 198 creditors.
Certainly, the financial condition of the company was horrible. But that didn’t affect Farmouz Farhaad Mohammed in the slightest.
He used to flaunt his wealthy lifestyle on Instagram and other social media platforms. For example, he posted a picture of himself with the new Range Rover.
Farmouz Mohammed appeared in the Queensland District Court at Ipswich in June. The jury found him guilty and sentenced to 2 years and six months of imprisonment on count one. Also, they sentenced him to 12 months imprisonment on counts 2 and 3 which he would have to serve concurrently.
More on Farmouz Farhaad Mohammed aka Fred Mohammed’s Case:
The guilty had found Farmouz Farhaad Mohammed guilty of three counts of fraud. He breached s408C of the Criminal Code (Queenslad) by dishonestly causing damage to Crane Trucks R Us.
The judge had ordered that the term of imprisonment will be suspended after serving 6 months. A 3-year operation period started on 11 June 2021 during which Farmouz must not commit another offense punishable by imprisonment.
Furthermore, Farmouz is disqualified from managing any company until 10 December 2026. The disqualification period after he completes his imprisonment term.
Media reports had started coming out about Crane Trucks R Us and its trajectory towards liquidation when employees started complaining how the company wasn’t paying them.
However, Farmouz Farhaad Mohammed had blamed Holcim for the company’s failure. He claimed that the multinational firm had terminated a $10 million contract part way. However, Holcim denied the allegations.
Farmouz Farhaad Mohammed damaged his company by taking out $200,000+ right before its liquidation. Not only did he defraud the company but also the creditors. It’s commendable how the authorities handled the entire situation.