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Tax evader in Vietnam jailed for 30 months
Publication Date : 03-10-2013
The Ha Noi People's Court sentenced Le Quoc Quan to 30 months in prison for tax evasion pursuant to Clause 3, Article 161 of the Criminal Code at a trial on Tuesday.
According to the indictment, Quan, 42, born in the central province of Nghe An, set up the Vietnam Solution Co Ltd in April 2001 with its headquarters in Cau Giay District, Ha Noi .
Under its business registration, the company operated in a range of activities including investment consultancy, labour and vocational training services, electrical engineering, consultancy and technology transfer in agricultural and rural development. The company has changed its business registration certificate 13 times, with the last focusing on market research information.
During the operation of the company, Quan instructed his accountant Pham Thi Phuong to make fake contracts and buy bogus added-value tax invoices in order to evade corporate income tax.
In 2010 and 2011, his company struck fake consultation deals worth 1.75 billion dong (US$80,000) with nine experts. The tax deductions meant that the company reportedly dodged tax payment of over 645 million dong ($30,900).
The experts who were ‘hired' have each admitted to signing the fake contracts for a 1-3 million dong ($40 – 140) payment each.
At the same trial, Quan's accountant Phuong, 31, was jailed for eight months also for tax evasion.
The court ordered the Vietnam Solution company to pay back the amount of tax it had evaded in 2010 and 2011, as well as a fine of two times the amount of tax advantage.