UK Shuts Down TCSPs Company Formation Network Linked to 11,000 Overseas Businesses

• In a significant move aimed at protecting the integrity of the UK’s corporate registration system, the High Court has shut down three interconnected companies that were responsible for registering more than 11,000 UK businesses for overseas clients predominantly based in China.
• Yunma Tianlong International Consulting Co.,
• Limited, Busy Secretary Service Limited, and
• J&C Business (UK) Co.,
• The firms operated what investigators described as a large-scale “business factory,” providing company secretary and registration services to thousands of enterprises that had no genuine operational presence in the UK.  
• The Insolvency Service found that none of the companies were registered with HM Revenue & Customs (HMRC) as Trust and Company Service Providers (TCSPs), despite providing services that legally require such registration.
• Operating as an unregulated TCSP meant the firms were not conducting anti-money-laundering (AML) or due diligence checks, leaving the UK’s corporate environment open to abuse.  
• According to investigators, the companies failed to implement even the most basic AML safeguards, such as identity verification or suspicious‑activity monitoring. This allowed overseas clients to establish UK-registered companies with minimal scrutiny, raising concerns about potential misuse for illicit purposes.

Creating a False Impression of UK Business Presence

• The court heard that many of the client companies were deliberately structured to appear as legitimate UK-based retailers, despite being entirely operated from overseas.
• Several sold everyday goods such as pet supplies and women’s clothing, misleading customers into believing they were dealing with UK-established businesses. Some of these client companies have already been shut down following separate investigations.
• Investigators also identified striking patterns of abuse, including thousands of companies registered to single UK addresses used purely as a mailbox to simulate local presence. One such address in South Croydon had been linked to more than 8,500 companies.  

Protecting the Integrity of the Companies House Register

• The Insolvency Service emphasised that the shutdown was necessary to protect the public and uphold trust in the Companies House register, an essential public record used by consumers, regulators, and businesses.
• Mark George, Chief Investigator at the Insolvency Service, stated that UK consumers “expect that if they are buying from what looks like a UK business, it actually has a presence here.” He noted that the actions taken were critical to stopping misleading activity that undermines confidence in the UK’s corporate landscape.  
• The three companies were formally wound up at the High Court in London on 29 January 2026, following extensive investigations involving the UK government and law enforcement agencies.

Wider Crackdown on Abusive Company Structures

• This intervention forms part of a broader government effort to combat the misuse of UK company registrations. Last year, thousands of companies were removed from the register as part of joint enforcement initiatives.
• More than half of the client companies serviced by the shuttered firms have already faced enforcement action, and further investigations remain ongoing.
• A government spokesperson reiterated the UK’s stance: misleading or fraudulent use of the company register will not be tolerated, and the government will continue tightening oversight of company formation and registration services.

SOURCES

• [miragenews.com] = https://www.miragenews.com/uk-firm-registering-companies-for-china-clients-1614522/
• [new.govwire.co.uk] = https://new.govwire.co.uk/news/the-insolvency-service/uk-business-factory-linked-to-registration-of-thousands-of-companies-for-china-based-clients-is-shut-down-g522865