City owner is banned in VAT probe

The owner of Chester City has been disqualified from acting as a company director for 11 years following an investigation into alleged VAT fraud.

The Insolvency Service led an inquiry into Stephen Vaughan's conduct while he was a director of Widnes rugby league club in 2006.

Mr Vaughan was investigated over an alleged "carousel" fraud.

Widnes entered into administration in October 2007 with liabilities of more than £1.6m.

Carousel fraud involves the cross-border trading of goods, creating a complex chain of transactions with the ultimate purpose of reclaiming VAT.

Mr Vaughan's disqualification takes effect on 25 November 2009 and means he will be banned from acting as a company director, or in any way controlling a company, until 24 November 2020.