London restaurant owner fined £45k for illegal worker pleads to keep licence
Restaurant owner fined £45k for illegal worker pleads for licence

The owner of a London restaurant fined £45,000 for employing an illegal worker has pleaded with the local authority to allow him to renew his licence.

Licence application hearing

Dilman Ismail Mahmoud told a Westminster City Council Licensing Sub-Committee that he was sorry about the incident and that he now conducts regular employment checks at his Bayswater business, Sadaf Restaurant.

Immigration enforcement officers discovered an illegal worker at the restaurant during a raid in April 2025. The Home Office imposed a £45,000 civil penalty and referred the case to Westminster City Council for a licensing review in November 2025.

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"I don't want to pay another penalty - it's hard for me. I'm sorry that this happened," Mr Mahmoud told the panel. "It's my business, I need to look after it."

Inadvertent error

Legal counsel Armin Solimani said the employee was hired on a student visa in December 2023, which expired in May 2024. The worker told Mr Mahmoud he was applying to renew his visa and had the right to work. Mr Solimani acknowledged this was an "inadvertent error" at the hearing on June 11, where Mr Mahmoud applied for a new licence.

"This is a serious and unacceptable error but it was an inadvertent one by someone who didn't equate himself properly with the rules and should not have taken his employee's assertions at face value. He's been severely punished for that," he said.

Invalid licence

The Home Office had requested a licence review, but Mr Mahmoud applied for a new premises licence after discovering his current one was invalid. A new company, Persian Aroma Ltd, was created after the original Sadaf Restaurant Ltd became bankrupt in September 2022, rendering the licence void. Mr Mahmoud's counsel said the transfer was done in "good faith."

The Home Office opposed the application, alleging a "sustained history of non-compliance" and accusing the business of phoenix activity - liquidating and reopening under a new name to avoid liabilities. Mr Solimani denied this, noting no repeated pattern of liquidation. While Mr Mahmoud has begun paying the penalty, the Home Office representative said this only started after the review application began.

Previous visits

Central London ICE visited Sadaf on December 6, 2023, and September 19, 2024, but was denied entry. Mr Mahmoud said one denial was due to the lunch rush and the other because he was not on site. The April 16 visit followed intelligence that the owners were employing illegal workers to pay less and avoid taxes. However, counsel said the illegal worker was paid around minimum wage.

The Metropolitan Police and licensing authority also opposed the application, with the latter stating it "has no confidence in this licence holder."

Community support

South East Bayswater Residents' Association (SERBA) supported Mr Mahmoud, describing the restaurant as a "nice place" run by a "family man." A member said: "He's been there about 20 years - a well-known establishment and well-known person in the community. He's helped in the past local schools over food supplies and festivals." SERBA requested that any granted licence prohibit outdoor tables and chairs between 8am and 11pm.

The sub-committee discussed conditions such as regular right-to-work checks and immediate access to records for enforcement teams. A new licence could allow Sadaf to open from 10am to 11:30pm Sunday to Thursday and 10am to midnight Friday and Saturday. A decision will be made within five working days.

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