A labour supplier who failed to fully repay a £1.7million confiscation order imposed after he was convicted of tax fraud has been sentenced to a further four years in jail.
Mazhar Hayat Raja was set to be released early from a six year jail term this week, but will remain behind bars as he has only repaid £680,000; after being forced to sell a variety of assets including houses, business premises, motorcars and personal effects.
Raja was found guilty of pocketing tax and National Insurance he should have deducted from his employees wages and paid to HM Revenue & Customs. He ran a series of companies supplying labour to a number of different industries. The fraud netted him at least £3million over a ten-year period. He was jailed for six years in 2008 for the fraud and ordered to re-pay crime proceeds of £1.7million in 2009. To-date he has only paid £680,00.
Raja supplied labour to several agencies since the early 1990’s, in the engineering and electronics industries, that had been ‘hidden’ behind an empire of numerous companies that he secretly controlled. These companies were deliberately dissolved after Raja pocketed the PAYE tax and National Insurance deducted from his employees.
Raja also supplied labour to businesses serving Heathrow and Gatwick airports in the catering and cleaning sectors, supplying hundreds of people each week. Although he made PAYE returns for these companies, they were falsified to conceal the true amounts which should have been paid to HMRC. He also set up a number of bank accounts in the names of his wife and other relatives to conceal the hundreds of thousands of pounds he had extracted from the companies.
Lynam Tax Investigation Experts have a vast amount of practical experience in managing serious tax fraud investigations. If you are worried about a tax investigation we can advise you on the best course of action. If appropriate, we can help you manage any necessary disclosures. If you are facing criminal charges we can help you obtain first class legal representation, in order to obtain the optimum outcome for you, your business and your family.
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