The case against a father and son who were accused of defrauding the Ministry of Defence out of £2million has been dropped after seven years of investigations.
The case against Frederick and Gerald Baxter, who were former directors of Aylesbury firm Baxters International Removals Ltd, was thrown out at Southwark Crown Court after no evidence was offered.
Both men had always vigorously maintained their innocence while investigators claimed they overcharged the government department between July 2002 and January 2007.
But in July, a review of the facts uncovered serious flaws with the prosecution case.
In open court, the prosecution accepted that they had fundamental concerns regarding aspects of the police investigation and disclosure of evidence that made the case unsustainable.
A CPS spokesperson said: “On 3 November 2014 the CPS informed Southwark Crown Court that it would be offering no evidence in the case against Fred and Gerald Baxter.
“During the summer, the CPS reviewed the case in light of issues about the strength of the evidence gathered by investigators and consequential concerns over the disclosure process.
“Having reviewed all the relevant factors after the review was completed, we considered that the weaknesses in the case and in the disclosure process meant we no longer had a realistic prospect of conviction.
“On that basis it was our responsibility to bring the case to an end at the earliest opportunity.
“The court was therefore invited to find both defendants not guilty of one count of being party to the carrying on of business for any fraudulent purpose.”