COUPLE HELD OVER RM25M GST FRAUD
Husband and wife allegedly falsified claims
THE Customs Department arrested a couple for allegedly falsifying Goods and Services Tax (GST) claims amounting to RM25.58 million last week.
Customs director-general Datuk Seri Subromaniam Tholasy said: “Based on information we have received and our partnership with the National Revenue Recovery Enforcement Team, we detained the suspected mastermind, who is in his 50s.
“We arrested him in Ipoh, Perak, on Aug 25 and picked up his wife, who is in her 40s, in Bandar Sri Petaling, Kuala Lumpur, two days later.
“The mastermind had RM200,000 in various currencies, while his wife had RM182,000 in hand when they were arrested,” he said here yesterday, adding that more people could be involved.
The other suspects, he said, would be picked up soon.
Asked how the department was alerted to the fraud, he said it was the department’s risk management and audit system that redflagged the false claims.
“Their tax claims did not reflect the nature of the business. We were on the case for several months before the arrests were made.”
The case is being investigated under Section 89 (1)(b) of the GST Act 2014 for submitting false claims to the Customs Department.
If found guilty, they could be fined between 10 and 20 times the amount of tax involved, or jailed up to five years, or both, for each offence, Subromaniam said.
He said the couple’s bank accounts had been frozen pending investigation under the AntiMoney Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001.
The suspects will be charged at the Ipoh Sessions Court tomorrow.
On another matter, Subromaniam said this year’s GST collection was better than last year’s.