Tax fraudsters jailed

Posted: 11th January 2012

A businessman and his wife have been sent to prison for four years and 16 months respectively after their business failed to disclose more than £5 million in profits. The couple’s three daughters were also convicted of money laundering and were given suspended sentences after admitting that more than £1 million had been passed through their accounts.Isaac William
The case arose after a tax investigation by HM Revenue and Customs (HMRC), who discovered that the luxury lifestyle of the couple could not be adequately explained by the disclosed profits of their company, which supplied security guards to the construction industry.
The undeclared profits were used to buy properties in Pakistan and the UK. These are currently the subject of proceedings brought by HMRC to seize them as ‘criminal assets’.
Simon De Kayne, Assistant Director of Criminal Investigation for HM Revenue & Customs (HMRC), said:

“Isaac William failed to declare his company’s income or pay taxes of £1.1m from his business activities. The amount he owes now stands at £2.6m including interest. His wife and daughters then continued the web of deceit by laundering over £1.3m through their personal bank accounts. Their criminal activities ensured they were able to fund luxury lifestyles and further increase their wealth at the expense of the taxpayer. We will continue to pursue those involved in this type of criminal activity and bring them before the courts. We will now work to reclaim the proceeds of their crime.

“If anyone has information about individuals or business that may be involved in this type of crime, I urge them to contact the Tax Evasion hotline by calling 0800 788 887 or via the website www.hmrc.gov.uk/tax-evasion.”
It is not always understood that assisting someone in ‘hiding’ the source of ill-gotten cash is a serious offence which can lead to imprisonment. Under-declaration of profits to evade tax is illegal and being complicit in activities that allow this to happen can lead to criminal charges. If a conviction results, HMRC may well seek the seizure and sale of assets under the Proceeds of Crime Act 2002.