ALL GREEK TO RAPTIS
Developer uses diplomatic ties to shift shop
ASX-LISTED developer Raptis Group – whose figurehead Jim Raptis and family face a $109.7m tax assessment – has moved its head office to the Greek Consulate. The prominent
Gold Coaster has been the honorary consul since 2004, a role contingent on “good character and reputation and no conflict of interest”.
Asx-listed Raptis Group has moved its head office to the Greek Consulate in Brisbane, where developer Jim Raptis has been honorary consul since 2004.
Mr Raptis, 74, and members of his family are facing a $109.7m tax assessment, with $80m of their assets frozen by the Federal Court.
A management hearing for the case is scheduled for next Wednesday.
According to the Department of Foreign Affairs, the consular role is contingent on his “good character and reputation and having no conflict of interest (or perception of conflict of interest) with any other roles or responsibilities”.
A spokesman for the ASX said Raptis Group had not formally notified the exchange of the change of headquarters address, which is still listed as the group’s Sydney-based accountant’s office.
The Brisbane consular address is, however, listed as the head office on the Raptis Annual Report, lodged with the ASX in August, and in ASIC records.
Under ASX listing rules, a company must “immediately” inform the exchange of a change of head office address.
A statement from Mr Raptis’s public relations representative did not explain why the Asx-listed development company now shared its headquarters with the Greek consulate.
It did not explain why the move had not been registered with the ASX, saying there were “no discrepancies with the address of Raptis Group”.
“There are proposals that will be announced before June 30 this year in accordance with ASX rules,” the statement said.
“Mr Jim Raptis has been Queensland’s Honorary Greek Consul for 15 years.
“He self-funds its resources to support the Greek community in Queensland.”
Before an Honorary Consul is appointed, they are vetted by the Premier’s department, with background checks including court, criminal and directorship matters taken into account.
The Queensland government then reports to the Commonwealth Department of Foreign Affairs and Trade on whether or not a candidate is suitable for the role.
The government’s policy states that the honorary consul role affords an appointee opportunities to speak with government officials and attend official events.
Under Federal legislation, honorary consuls are exempt from paying tax on funds received in relation to the consulate position and from submitting certain consular documents to Australian authorities.
A statement from the Department of the Premier and Cabinet would not answer questions on whether Mr Raptis would remain a consular official under its own policy, in light of the tax office issue and multiple company collapses.
“The Commonwealth government determines any appointment or rejection of a person nominated as an Honorary Consul, and they may consult with the state government on any considerations,” they said.
“It would not be appropriate for the Queensland government to comment further as this is a Commonwealth government matter.”
The Department of Foreign Affairs and Trade was on Friday yet to respond to questions sent by the Bulletin on Wednesday morning.
The Greek Embassy in Canberra did not reply to multiple inquiries.
Mr Raptis, along with wife Helen and son Evan, faces an $80m asset freeze, as the ATO chases $109.7m in unpaid tax, penalties and interest.
Court documents said ATO investigations had revealed apparent “tax avoidance arrangements” by Mr Raptis, members of his family and companies.
The Raptis business links to the consulate come as the veteran developer attempts to further distance the lacklustre Asx-listed Raptis Group, made up largely of creditors from his $1bn GFC collapse, from his lucrative private Raptis group, based on the Gold Coast.
The public Raptis Group, which is barely turning a profit as it “researches opportunities” for shareholders, was previously registered at the same Surfers Paradise address of Mr Raptis’s private companies.
MR JIM RAPTIS HAS BEEN QUEENSLAND’S HONORARY GREEK CONSUL FOR 15 YEARS. HE SELF-FUNDS ITS RESOURCES TO SUPPORT THE GREEK COMMUNITY IN QUEENSLAND
STATEMENT FROM JIM RAPTIS’S PUBLIC RELATIONS REPRESENTATIVE
Mr Raptis did not answer a question about why his public company did not appear to have secured the same opportunities as his private group, which currently has $250m in development projects under way.
Domain records show the website for the honorary Greek consulate was registered using the ABN of Tortalia, a company solely directed and owned by Mr Raptis.
Tortalia has a registered address of Ralph Gould Accountants in Sydney.
The accountancy group has undergone multiple name changes and was co-founded by long-time Raptis associate Vanda Gould.
Former teacher Mr Gould was stripped of his financial licence and is serving a six-year sentence for attempting to pervert the course of justice over a $383m tax evasion scheme.
Mr Gould was named in the ATO’S Federal Court case against Mr Raptis, who is alleged to have undertaken “tax evasion activities” worth $109m.
Mr Raptis maintains he has always conducted his affairs legally and said he was in discussions with the ATO to “resolve the matters”.
The previous director and shareholder of Tortalia is former Raptis staff member Merilee Lisle, of Biggera Waters. There is no suggestion of any wrongdoing by Ms Lisle.
Ms Lisle, 74, was also named in the tax case, as sole shareholder of the company which is registered owner of Mr Raptis’s palatial $20m Paradise Waters mansion.
The mansion was among $80m of private Raptis assets frozen by the court in the tax case.
Raptis Group first listed on the ASX in 1986 but has twice been delisted, in 1991 owing investors $65m and most recently in 2008 owing creditors $1bn.
In 1991, it struck a deal which saw creditors recover just 3.5 cents in the dollar and in 2014 whittled down a $30m Australian Taxation Office bill related to the billion-dollar collapse to just $6.
In 2014 and 2015, two Jim Raptis companies used to develop the Sapphire building at Labrador went into liquidation with combined debts of $11.03m.