R43 million fraud and tax evasion: Bail extended for businessman Krishna Chetty and his employee Ravin Ramlall
|Published
The case against 66-year-old businessman, Krishna Chetty and his employee, Ravin Ramlall was postponed to June 13 for pre-trial conferencing in the Pretoria Magistrate’s Court.
The duo face charges of fraud and tax evasion relating to the income tax of Chetty’s company, amounting to over R43 million.
“They are facing charges of fraud in that they failed to honestly declare the income of Counterpoint Trading 156 CC and thereby failed to comply with the statutory duty imposed by section 25 of the Tax Administration Act,” said Henry Mamothame, spokesperson for the Investigating Directorate of the National Prosecuting Authority.
“Ramlall allegedly instructed a tax practitioner to misrepresent the company income tax returns of Counterpoint Trading 156 CC during the period 2018 to 2021, on behalf of Chetty, who is the sole director in the company.”
Their court appearance follows an investigation by the Investigating Directorate in collaboration with the South African Revenue Service (Sars) in terms of Section 73 of the Prevention of Organised Crime Act.
During the period 2018 to 2021, the company received various amounts of money from different business sources.
According to the Investigating Directorate, in 2018, Counterpoint Trading 156 CC received taxable income of R26 million, to which it only declared R1 million to Sars.
“The company further received an amount of R10 million in 2019, and only declared R1 million,” said Mamothame.
The trend continued in 2020, in which Counterpoint Trading 156 CC allegedly received over R18 million and only declared R1 million.
“A further amount of R1 million was declared by the company to Sars for an actual taxable income of R16 million received,” said Mamothame.
The two are out on R50,000 bail each and are expected back in court in June when the matter resumes.
IOL