A CBD brand boss and his codirector have been sentenced for fraud and money laundering after transferring loan funds, including covid money, through multiple accounts to help buy a £210,250 property in Lanzarote.

Alex Hope, 41, of Halsham, East Yorkshire, was director of management consultancy ‘A Hope Ltd’ when he fraudulently applied for the £25,000 bounce back loan by declaring a turnover of £100,000, when the company’s accounts showed less than £13,000.

He was also a director of Virtutum Limited, which traded as CBD Asylum in Hull, when the company secured a £56,000 loan from a private lender in 2021.

CBD Asylum sold products containing cannabidiol (CBD), a compound derived from cannabis. Unlike cannabis products, CBD does not produce a psychoactive high. It is commonly sold in oils, capsules and skincare products.