22 May 2024 - Press Release - Company Sentenced for Unfair Trading

On 16^th May 2024 ESE Group Limited (formerly known as ESE Services Limited) and two of its former sales representatives were sentenced at Reading Crown Court having entered guilty pleas at previous hearings to a range of matters relating to solar systems maintenance.

Following the sentencing hearing, the total amount payable by ESE Group Limited related to their offending amounts to in excess of £1.4 million.

ESE Group Limited of Sprint Way, Liverpool, L24 9AB are a company that offers a range of services including solar panel installation, maintenance, upgrades, and optimisation. On 26^th August 2022 they had entered a guilty plea to one count of unfair trading contrary to Regulation 3(3) and 8 of the Consumer Protection from Unfair Trading Regulations 2008 in that they contravened the requirements of professional diligence in relation to the selling of solar panel maintenance contracts and green energy equipment to consumers. Specifically, the company admitted to a range of actions namely:

causing marketing letters to be sent to consumers which were designed to create the misleading impression that there was a pre-existing relationship with the consumer;
claiming to offer a ‘free’ check when the actual purpose in attending customer homes was to attempt to sell goods and/or services to the consumer;
claiming to be accredited by NAPIT when in fact NAPIT does not run a scheme for the accreditation businesses undertaking solar panel maintenance;
selling products and or services that were unnecessary and/or falsely described;
overcharging consumers for equipment and/or its installation;
failing to provide consumers with any or any adequate cancellation rights
using false testimonials; and
making misleading claims about risk to the consumer’s property and safety

Azis Ghanchi (aka Ash Ruprai), aged 44 of Sandringham Close, Blackburn and a representative engaged by the company, had entered guilty pleas on the 11^th January 2024 to six counts of fraud by false representation in relation to a range of victims across the country. These included fraudulent representations with respect to increased performance and fire risk.

William Lowther, aged 55 of Bond Street, Macclesfield and a representative engaged by the company, had entered a guilty plea on the 10^th June 2022 to one count of fraud by false representation. The facts were that in May 2019 he had misled a victim by fraudulently stating that that there had been a change in government legislation which required changes to their system and that their solar panels represented a fire risk. They were told that unless they carried out the work recommended they might be unable to sell their home.

The investigation commenced when an initial victim from West Berkshire contacted the Public Protection Partnership shared trading standards service raising concerns about representations made to her on the value of work and the operability of her solar panel system. In conducting the investigation, the service was supported by the National Trading Standards Tasking Group and assisted by trading standards colleagues around the UK. The case was prosecuted by West Berkshire Council.

ESE Group Limited was fined £464,000.

ESE Group Limited had already paid £110,809 in compensation to some of its victims following its plea. The company was ordered to pay a 15% uplift on the outstanding compensation for the remaining victims making a total recovered for the victims of ESE Group Limited of £326,317.85.

Additionally, ESE Group Limited had already paid £617,280.88 towards prosecution costs, and was ordered at the sentencing hearing to pay a further £7,330.00.

The total amount payable by ESE Group Limited amounts to £1,414,928.73.

Mr Ghanchi was sentenced to 2 years’ imprisonment suspended for 18 months with 8 sessions of rehabilitation activity and a fine of £2500 in respect to six counts of fraud by false representation. A victim surcharge was also payable and a collection order was made for enforcement purposes.

Mr Lowther was sentenced to 4 months’ imprisonment suspended for 18 months with 10 sessions of rehabilitation activity and a victim surcharge with respect to one count of fraud by false representation. A collection order was made for enforcement purposes.

Three other sales representatives of ESE Group Limited were acquitted in February 2024 following a trial at Reading Crown Court.

Cllr Lee Dillon, Executive Member for Public Safety at West Berkshire Council and Chair of the Joint Public Protection Committee said: “The sentencing today reflects the severity of offending that affected many people. I hope it sends a clear message to anyone looking to trade unfairly that the penalties can be high. We were particularly pleased to have recovered £326,317.85 in compensation for the 80 victims of ESE Group Limited’.

‘This was a complex investigation carried out by skilled investigators in our trading standards service supported by National Trading Standards and prosecuted in conjunction by the Councils legal service. We are grateful for the support of National Trading Standards and colleagues around the UK’.

Lord Michael Bichard, Chair of National Trading Standards, said:

"ESE Group Limited’s business model was based on lies and deception. The heartless individuals behind the company – which traded under multiple names - completely ignored the health and wellbeing of their victims and were clearly motivated by insatiable greed.

“Today's verdict should serve as a powerful reminder that those who engage in this type of criminal activity risk prosecution. I extend my congratulations to everyone who played a role in ensuring that these criminals face justice.

“If you or someone you know has fallen victim to unfair trading or fraud like this you should report it to the Citizens Advice consumer service helpline by calling 0808 223 1133.”

Notes:

The Public Protection Partnership (PPP) is a shared service delivering Environmental Health, Licensing and Trading Standards to people and businesses on behalf of Bracknell Forest Council, and West Berkshire Council.

PPP work jointly with Wokingham Borough Council to provide a shared Trading Standards, Financial Investigation and Case Management Service across the three authority areas.

These services encompass a wide range of areas of responsibility from environmental protection to fair trading, food safety to animal health, housing standards to taxi licensing, and more.