North Yorkshire trading standards officers uncovered a massive scam that fleeced tens of thousands of businesses countrywide, Leeds Crown court heard.

They were working jointly with colleagues in Cheshire, Lancashire and Manchester in what is believed to be England's biggest ever trading standards operation, said Robin Spencer QC prosecuting.

He outlined how over four years five company directors used five companies to con small businesses out of hundreds of pounds each.

Each firm was operating a scam involving a promise of business rates reductions.

But the torrent of complaints from their victims, particularly in Yorkshire, prompted North Yorkshire trading standards to investigate the operations of three of the companies, which all used the name Oldfields.

Mr Spencer said that the Oldfields operation at one stage had a turnover of £8 million a year with 43,000 business customers who were conned into handing over at least £200 for no return.

And when one of the five, Jason Clarke, 32, started up the fourth and fifth companies using the name Strattons, their activities prompted the trading standards officers of Cheshire, Lancashire and Manchester to get involved.

Clarke, pleaded guilty to four offences of fraudulent trading with the Oldfields companies and two fraudulent trading offences with the Strattons companies.

Peter Hilton, 57, pleaded guilty to four fraudulent trading offences with the Oldfields companies.

John Stenson, 36, pleaded guilty to two fraudulent trading offences with the Strattons companies.

Lee Hilton, 30, unrelated to Peter Hilton, pleaded guilty to two false trade descriptions offences involving the Strattons companies as did Strattons and Co (Consultant Surveyors) Ltd.

Anthony Dardis, 31, of Birmingham, pleaded guilty to two fraudulent trading offences with the Strattons companies. All but Dardis come from Manchester.

Judge Peter Armstrong signed a bench warrant for Peter Hilton after he failed to attend court. The others will be sentenced later this week.