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Tax adviser found guilty of £70m fraud
by William Robins on Jan 13, 2012 at 14:36
A tax adviser has been found guilty of a £70 million tax fraud which he used to fund a lavish life style of expensive second homes, exotic holidays, works of art and luxury cars.
David Perrin, who was deputy managing director at Vantis Tax, was found guilty at Blackfriars Crown Court after he devised and operated a tax avoidance scheme which he sold to wealthy taxpayers in order to exploit the law on giving shares to charity.
The scheme allowed him to pocket more than £2 million in fees from unsuspecting clients.
HM Revenue & Customs said Perrin used a network of finance professionals to advise more than 600 wealthy clients to buy shares, worth a few pence each, in four new companies he had set up.
He then listed the companies on the Channel Islands Stock Exchange and paid people money from an offshore account to buy and sell the shares simply to inflate their price.
The share owners then donated 329 million shares to various registered charities and tried to claim £70 million tax relief on a total of £213 million of income and company profits, based on the shares being worth up to £1 each, rather than the pennies they were originally bought for.
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20 comments so far. Why not have your say?
Usually found sitting on the fence
Jan 13, 2012 at 14:48
There must be more to this than the article states. Tax planning is all about mitigating the rich from their tax obligations, does anyone know how this differs?
report thisbrian hammond
Jan 13, 2012 at 14:53
Presumably a highly qualified individual !!!!!
report thisDavid Barnett
Jan 13, 2012 at 14:54
Don't worry, after 2012 The RDR will stop this happening, won't it ???? And it will only have cost c. £2 BILION.
report thisJulian Sunley via mobile
Jan 13, 2012 at 15:10
Can those who try and turn every story back to RDR in a negative way please go and look for a publication called 'Old Model Adviser' as I'm getting very bored. Ta
report thisJames Wetherall
Jan 13, 2012 at 15:13
What Julian said.
report thisdisgusted
Jan 13, 2012 at 15:18
^^^^^^What he said^^^^^^^^^ ditto
report thisRob Cubitt
Jan 13, 2012 at 15:19
I concur Julian.
report thisDavid V Henderson
Jan 13, 2012 at 15:20
I have to say that there is a touch of the evil genius here. The chap, whilst being an out and out crook, also has obvious networking and business development skills.He may even be able to complete a Gabriel.
report thisTony Laverick
Jan 13, 2012 at 15:23
Let's hope Perrin isn't the last one to be prosecuted.
The shareholders must have known what was going on, claiming higher rate relief on a charitable gift they paid peanuts for. And the people who were paid to deliberately manipulate the share price upwards?
report thisDavid Barnett
Jan 13, 2012 at 15:24
Julian, Sorry you find the truth boring. It may be, but it needs to be said, otherwise The FSA/FCA will become even more oppresive.
report thisJohn Mackay
Jan 13, 2012 at 15:33
Julian Ditto and David please tell us what colour the sky is on your planet as these silly mumblings will have no effect whatsoever on the FSA FCA so it is time to accept what is and move on
report thisRobert Handford
Jan 13, 2012 at 15:36
I think its whingers that Julian finds boring
report thisUsually found sitting on the fence
Jan 13, 2012 at 15:39
More digging explains the reason for the conviction, and agree with Tony Laverick, how did the shareholders not know or at least suspect? An article (found using google news) says that among the clients were Rooney and Paxman - Unfortunate victims?
And this has nothing to do with RDR, not even close, it's just a simple case of greed (all round, apparently)
report thisFazmac
Jan 13, 2012 at 16:13
Lots of comments on this one. We've obviously all not got enough to do or, like me, would rather type a comment than get on with what I should be doing. It is Friday afternoon, after all! Have a good weekend everyone.
report thisDavid Barnett
Jan 13, 2012 at 16:17
"...David please tell us what colour the sky is on your planet as these silly mumblings will have no effect whatsoever on the FSA FCA so it is time to accept what is and move on...
John I do accept what is a fait accompli, but it's what is to come that bothers me. Incidentally, the sky is turning a beautiful red as the sun sets.
report thisChris Miller
Jan 13, 2012 at 16:23
@David V Henderson
Your comment about this joker being able to fill in a GABRIEL made me laugh out loud. Nice one!
report thisAdam Smith
Jan 13, 2012 at 17:03
This case has been running for a couple of years. I actually know the defendant, and he deserves it. I see there's no report of sentence yet, presumably we're waiting for verdicts on the other two (or was it three? I can't remember if his wife's case was discontinued) trials that haven't yet concluded.
report thisBilly
Jan 13, 2012 at 17:23
if it was the David Perrin from Rutland, he was a good footballer when younger!!!
Good weekend to all
report thisBob Donaldson
Jan 13, 2012 at 17:26
Wasn't his brother Reggie Perrin or has the wine gone to my head!
report thisPaul, Dublin
Jan 13, 2012 at 17:37
I didn't get where I am by commenting on this sort of thing...
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