It was reported on IRAS’ website on 18 November 2016 that Lim Chit Foo was charged with five counts of Abetment by Conspiracy to Commit Cheating under the Penal Code, in respect of claims made under the Productivity and Innovation Credit (PIC) Scheme. If convicted, the offender would be punished with imprisonment for a term which may extend to 10 years, and is also liable to fine.
In this case, 28 companies have been investigated by IRAS in a suspected PIC group fraud. As part of the investigations, IRAS conducted an island-wide raid operation at multiple locations including Genting Lane, MacPherson and Balestier Road in October 2016. Computers, mobile phones and business records were seized during the operation.
As IRAS’ initial investigation revealed possible offences under the Penal Code, the case has been referred to the Commercial Affairs Department (CAD) of the Singapore Police Force for further investigations.
What does this mean to you>
IRAS takes a serious view of any attempt by claimants, vendors or consultants to defraud the Government. Under the Income Tax Act, anyone convicted of an offence of abusing the PIC Scheme will have to pay a penalty of up to four times the amount of PIC cash payout fraudulently obtained or which would have been obtained if the offence had not been detected, and a fine of up to $50,000 and/or imprisonment of up to five years.
Cases involving possible offences under other laws may be referred to the relevant enforcement agencies for investigation.
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