Collect Consulting, Connections, First Step Consulting, Simply Consulting and Total Recruitment Services all broke the tax rules by hiring agency employees through schemes which resulted in payments being made without the correct income tax and National Insurance contribution (NICs) deductions.

The agencies were all registered in Isle of Man and worked with UK registered agencies who acted as third parties, placing the users in work with client businesses. The UK operations then paid the users a national minimum wage salary, which was taxed, and topped this up with a so-called loan which was tax free.