The Anti-Corruption Commission (ACC) has implicated the Proprietor and Chief Executive Officer of a private cordycep exporting firm, Lhaimetog Export and Import,for allegedly concealing export income and evading taxes between 2009 and 2017.
The Office of the Attorney General (OAG) is currently reviewing the case.
As per the ACC’s recommendation to the OAG, the defendants are to refund Nu 85.2 million along with evasion penalties and overdue interest calculated as of 30th June 2018.
According to the investigation report of the ACC, the company had fraudulently concealed export income of Nu 70.9 million and evaded corresponding tax of around Nu 21.2 million.
The report states that the CEO and his staff falsified and significantly undervalued the export invoices. In many instances, they even directed their foreign customers to wire transfer the money to three personal bank accounts.
As per the ACC’s report, the company officially reported taxable income of Nu 88.8 million to the tax authority and paid over Nu 1.1 million as business income tax in between 2009 and 2017. However, the Commission’s investigation revealed the actual earning was far more than the declared amount.
The ACC has recommended the OAG to charge the defendants on nine counts of tax evasion and another nine counts of forgery against the CEO.
The tax evasion case surfaced during the ACC’s review of suspected misuse of public funds in Buddha Dordenma Construction Project in which the proprietor of Lhaimetog Export and Import is allegedly involved.
