2 doctors charged over PCR testing tax fraud
The directors charged are Dr Ali Abdulla Latheef, Director of Island Health Solutions, and Dr Ikleel Shareef, Director of Pioneer Maldives.
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Two medical doctors have been charged with tax fraud in connection with PCR testing services provided during the COVID-19 pandemic.
The Maldives Inland Revenue Authority (MIRA) said on Tuesday that it requested the Prosecutor General’s Office (PGO) to file charges against Pioneer Maldives, Island Health Solutions Company and two of their directors.
The directors charged are:
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Dr Ali Abdulla Latheef, Director of Island Health Solutions
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Dr Ikleel Shareef, Director of Pioneer Maldives
The Prosecutor General’s Office said on Wednesday that charges were filed against the two companies and the two doctors on Tuesday.
According to the PGO, based on a comparison between the figures declared in the tax returns submitted by the defendants and the figures calculated by MIRA from the companies’ actual income, the two companies deliberately evaded payment of taxes amounting to MVR 20.2 million.
The PGO said that if the charges against the companies under the Administrative Taxation Act are proved, it will seek a fine of MVR 40.4 million, which is twice the amount of tax evaded.
Island Health Solutions has been charged with three counts, including intentional tax evasion and obstruction of law enforcement and other government activities.
Dr Ali Abdulla Latheef, who holds a 50 per cent stake in Island Health Solutions, has been charged with three counts of intentional tax evasion.
The PGO said investigations also found that Pioneer Maldives Pvt Ltd is a company in which Latheef has an interest.
Pioneer Maldives has been charged with two counts of intentional tax evasion.
Dr Ikleel Shareef, the director of Pioneer Maldives, has been charged with three counts of intentional tax evasion. The PGO said Ikleel is the majority shareholder in both Island Health Solutions and Pioneer Maldives.
Ali Fayaz, of Boaveli, ADh. Maamigili, who prepared the tax returns of the two companies, has been charged with five counts of intentional tax evasion.
The Prosecutor General’s Office said the charges against the individuals were based on their roles in the companies. It said it intends to seek the maximum penalties prescribed by law in the event of conviction.
According to MIRA, the two companies were among the main providers of PCR testing services during the pandemic, but their income tax returns did not include a significant portion of taxable income.
MIRA said:
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Island Health Solutions did not declare taxable income amounting to MVR 31.9 million
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Pioneer Maldives did not declare taxable income amounting to MVR 102.7 million
