On 28.9.21, the Australian Federal Police, ATO and ASIC issued a joint media release, reporting that a man, from Sydney’s inner west, will appear before Downing Centre Local Court, to face charges in relation to a $20m fraud and money laundering operation. The case is part of Operation Bordelon, a Serious Financial Crime Taskforce joint agency operation into a criminal syndicate using labour hire and payroll companies associated with the building and construction industry to defraud the Commonwealth. The man is the 14th person to be charged in relation to the operation.
According to the report, the man will be alleged to have received and possessed almost $0.5m that was proceeds of an illegal scheme to siphon off money that should have been remitted to the ATO, and that he was reckless as to the fact that the money was the proceeds of crime. The man allegedly used 2 personal bank accounts to receive money from 5 other corporate entities set up to facilitate the fraud scheme. It will also be alleged the man was the sole director and secretary of a corporate entity that received payments from another entity established by the syndicate to launder money illegally diverted as part of the scheme.
The man is expected to be charged under s400.4(2) of the Criminal Code (Cth). If convicted he could face the maximum penalty of 10 years imprisonment. [LTN 187, 28/9/21]
[Tax Month – September 2021] 3.10.21