Wired Orthodontics Ltd and its two directors, Ian Hutchinson and Susan Bessant, set up an employee benefit trust in 2014.

The company, which was head up by Hutchinson and Bessant, provided dental products and supplies to the dental industry. They were also both joint shareholders and employees of the company.

By using this structure, Hutchinson and Bessant had the flexibility to sell or retain the company’s assets as they wished. They purchased an asset of £300,000 worth of gold bullion from Asset Hound Ltd.

Of this, £120,000 related to the company’s profits for the accounting period ended 30 April 2014 and £180,000 for 30 April 2015.

The gold was immediately sold and the directors satisfied the company’s obligation to Asset Hound to pay for the gold by the use of the proceeds of its sale.