Witnesses deny ordering product
SYDNEY — Prosecutors arguing a $3.6 million tax fraud case presented further evidence Tuesday suggesting a Cape Breton woman and her three daughters filed bogus invoices in order to claim tax rebates.
Chris Livingstone, who along with his wife operate Granny’s Country Cottage in North Sydney, testified his company did purchase some salad dressings from one of the companies operated by the accused.
When shown an invoice from one such company indicating a purchase of $1,920 in dressings, Livingstone said he found no receipt or cheque in his records to confirm such a purchase. He added his company would never purchase such an amount.
The testimony comes in the trial for Lydia Saker, 76, of Sydney Mines; and her daughters, Georgette Young, 49, of North Sydney; Angela MacDonald, 47, of Kentville; and Nadia Saker, 45, of Leitches Creek. All of the accused are representing themselves.
The four individuals plus 10 companies they operated face a combined total of 60 offences — 40 counts of fraud (Criminal Code offences) and 20 counts of filing false and deceptive statements (Excise Tax Act offences).
The offences are alleged
to have occurred between January 2011 and July 2015.
During the cross-examination of Livingstone by accused Georgette Young, prosecutor Mark Donohue objected to the line of questioning on the grounds of relevance.
When asked to respond to the objection by Supreme Court Justice Robin Gogan, Young said she was unable to explain the relevance and halted her questioning.
“Say hello to your lovely wife,” said Young, in addressing Livingstone, as he completed his testimony.
Another witness, David Farmer testified that part of his responsibilities at the nonprofit Breton Ability Centre in Sydney, is the operation of the Best of Cape Breton gift shop.
He said he did make purchases of cookbooks and salad dressing from an accused company, Juliette and John Inc.
However, when shown an invoice for $1,440 for the purchase of dressings, Farmer said he never order such an amount.
Further, he was shown two invoices for purchase of cookbooks, each over $9,000, and told the court the business never made such an order.
Other witnesses have testified to having similar experiences in having ordered some products and then later presented with invoices submitted to Canada Revenue Agency for products never
received, ordered or paid. At least one company had no prior dealings with the accused but yet were named on an invoice.
The trial will resume on Thursday as further evidence will be presented on two outstanding motions – one dealing with search warrants and the second dealing with information gained in a financial audit.