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Fife hoteliers accused of £740,000 tax evasion

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Two Fife hoteliers are accused of tax fraud amounting to more than £740,000.

Andrew and Lesley Dykes, of the Crusoe Hotel, are due to stand trial before the end of September.

It is alleged they evaded VAT at the Lower Largo hotel and at Dunnikier House Hotel, in Kirkcaldy, which they used to own.

Both Mr Dykes, 62, and Mrs Dykes, 65, denied the charge against them when they appeared at Kirkcaldy Sheriff Court on Tuesday.

They are accused of knowingly being concerned in fraudulent evasion of VAT between August 2011 and July 2016 at the hotels and at 13 Mount Frost Place, Markinch.

They were said to have submitted returns to HM Revenue and Customs with false information and failed to submit VAT returns when required.

The court heard their trial could last around 10 days and involved what procurator fiscal depute Nicola Henderson said was a “vast amount of paperwork”.

It is expected that a special sitting will be required to hear the case, due to the volume of evidence which will be presented.

Sheriff Alastair Thornton said: “One of the issues that this court will have is where the trial is to take place and whether it’s also going to be necessary to assign a special sitting for the case.

“Those issues will remain for the foreseeable future but hopefully will be clarified by the first diet on August 6.”

A further first diet was set for August 6 and the time bar for the case was extended to September 30.

Dunnikier House Hotel is under new ownership.

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