This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/northern_ireland/5401502.stm
The article has changed 3 times. There is an RSS feed of changes available.
Version 1 | Version 2 |
---|---|
Computer chip boss's £18m pay-out | Computer chip boss's £18m pay-out |
(40 minutes later) | |
A computer chip billionaire has agreed to pay £18m to the UK's Assets Recovery Agency and the Republic of Ireland's Criminal Assets Bureau. | A computer chip billionaire has agreed to pay £18m to the UK's Assets Recovery Agency and the Republic of Ireland's Criminal Assets Bureau. |
Dylan Creaven also agreed to hand over his luxury villa and four racehorses. | Dylan Creaven also agreed to hand over his luxury villa and four racehorses. |
The agencies, which recover illegally earned money, called it their "largest result so far". | The agencies, which recover illegally earned money, called it their "largest result so far". |
Mr Creaven, 32, who lives in London but is from Ennis, County Clare, was acquitted of VAT fraud at Southwark Crown Court in 2005. | Mr Creaven, 32, who lives in London but is from Ennis, County Clare, was acquitted of VAT fraud at Southwark Crown Court in 2005. |
In a subsequent investigation by the recovery agencies, his assets were frozen. | In a subsequent investigation by the recovery agencies, his assets were frozen. |
About £12m will be handed over to the ARA and the remainder will go to the CAB in the Republic of Ireland, by 12 October. | About £12m will be handed over to the ARA and the remainder will go to the CAB in the Republic of Ireland, by 12 October. |
Acquittal | |
In a statement, the ARA said the agreement was reached after a mediation process. | In a statement, the ARA said the agreement was reached after a mediation process. |
Mr Creaven had agreed to hand over a total of £18m as well as his luxury villa in Marbella and four racehorses, one of which won the 2005 Galway Hurdle. | Mr Creaven had agreed to hand over a total of £18m as well as his luxury villa in Marbella and four racehorses, one of which won the 2005 Galway Hurdle. |
In 2005, Mr Creaven stood trial for VAT fraud following an investigation by HM Revenue and Customs into allegations that he played a principal part in an international missing trader VAT fraud through his computer chip business in the Republic of Ireland. | In 2005, Mr Creaven stood trial for VAT fraud following an investigation by HM Revenue and Customs into allegations that he played a principal part in an international missing trader VAT fraud through his computer chip business in the Republic of Ireland. |
He was acquitted but the ARA and CAB subsequently investigated him and obtained a freezing order on his assets. | He was acquitted but the ARA and CAB subsequently investigated him and obtained a freezing order on his assets. |
Jane Earl, ARA director said it was the largest result so far. | Jane Earl, ARA director said it was the largest result so far. |
"It demonstrates the power of civil recovery legislation in taking away the fruits of unlawful activity," she said. | "It demonstrates the power of civil recovery legislation in taking away the fruits of unlawful activity," she said. |
"This case means that a proportion of the money stolen from the taxpayer through VAT fraud will be returned to the public purse, and it represents a significant achievement in the fight against VAT fraud which is not a victimless crime." | "This case means that a proportion of the money stolen from the taxpayer through VAT fraud will be returned to the public purse, and it represents a significant achievement in the fight against VAT fraud which is not a victimless crime." |
Carousel fraud | |
VAT fraud - known in the official jargon as Missing Trader Intra Community (MTIC) Fraud - is the single biggest threat to the taxation system of the European Union. | |
It has already cost the UK government at least £8.5bn since 2001. | |
It typically involves the repeated import and export of small but valuable goods, such as mobile phones and computer chips, between EU countries, hence its other common name of carousel fraud. | |
The fraud happens when the goods are legitimately imported free of VAT and are then sold with VAT added. | |
The individuals then take the tax they have collected instead of handing it over to HM Revenue & Customs. | |
Successful prosecutions have been hard to achieve. | |
But since the start of the year HMRC has put in place a number of new plans to stop the fraudsters. | |
This has included diverting hundreds of staff to scrutinise new applications for VAT registration as well as claims for VAT refunds when goods are exported to the EU. |