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This is a very complicated and long story, which I try to summarise as much as possible.
I have created a diagram and attached, which I hope help you understand the flow.
If anyone could provide any information, it would be much appreciated.
Due to the nature of the issues, I prefer not to disclose any identity of any parties involved including myself.
My question is:
* If the following issues are legal or not
* If there are any organizations/institutions which supervise UK Boarder Agency and Inland Revenue
(HMRC)
The company `A` = based in the City in London, employs (apprx) 300 employees consisting of various nationalities, and (apprx) 1,000 all over the world. Quite reputable and over the 50 years of sustained business with £120 m worth of assets.
I left my job at `A` last year due to the following issues. However, `A` is not entirely aware of the issues.
During my work time at `A`, I, by chance, found that there were malicious activities going on and was about to be involved with them.
The activities I believe malicious are:
providing illegal work opportunities,
employing illegal workers,
supporting tax evasion,
providing forged documents to the authorities,
Those people involved have since been trying to eliminate the proof of these activities, although they claim that all issues listed below are legal.
I was working in a department (at `A`) where my managers were British and colleagues were Oriental people. The problems were some of these Oriental workers (actually students).
The issue 1: Work permits
This company `A` declares to Home Office (and public) that all their employees have working entitlement in the UK: having right of abode in the U.K. Therefore, in order to create simpler employment environments and make some profits, some senior employees had set up non-operational companies such as a toy company or a jewellery company (let’s say company `TJ`). These companies only exist on official documents and no business trading exists.
Then these Oriental students applied for the work permits from Home Office (UK) claiming that they work for these non-operational companies `TJ`. Home office (UK) issue work permit for them, and then they started working for the company `A` instead. They are previously student visa holders, yet never or scarcely attended any educational institutions, but solely working for `A` in their office as like full-time employees. The company `A`, including HR department, were not aware of these arrangements at all that only these Oriental students and some senior workers knew about it: from my knowledge.
The issue 2: Tax evasion or avoidance?
The wages to these students had to be manipulated as the company `A` does not recognize them as employees.
Therefore, the senior worker also set up another company, (I,M,O, work as) money laundering company, in their native country (let’s say the company `H` in country HC).
These Oriental students (pretend to be employees of non-operational company `TJ`) invoiced the amount of their wage to the company `A` as supplier cost of `H`, `A` sent money to the company `H` as payment by international bank transfer, then the money was re-sent back to the bank account of those students in the U.K.
Therefore, the students declare to HMRC (UK) that they pay income tax in `HC` so that they are not liable for income tax in the U.K. And at the same time, they and the company `H` declare to the tax office in `HC` that they pay income tax in the U.K therefore they are not liable for income tax in `HC`.
Consequently, they stay in the UK as a `valid? ` work permit holder: working for `TJ`, and earn average £3,000 per month without any tax levy for simple office job which juniors normally do while their British managers earn 30k/anual (apprx £2.000/month after tax). They also have freedom of working hours: 5 months holiday could be easily possible (without wages though).
The issue 3: Forged documentations
Both above activities needed a lawyer to fill the official documents, the senior worker from `A` therefore employed a solicitor from S.E England area, who worked for all these students’ s manipulation of official documentations such as application for work permits, extension of the permits, renewal of visa status and tax records. This lawyer has a connection in HMRC (UK) so that all tax issues such as income tax, P45 and tax issues or PAYE for the company `TJ` had been manipulated according to their working condition at `A`. So, it all appeared to be legal on their documents.
How they declare to HMRC and how they manipulate the tax issues and wages are unknown. The lawyer and the senior employee at `A` had crafted the way and those students just followed the instruction from them.
All these were active between 2003 and 2012. I have actually contacted both UK Boarder agency and HMRC in 2013. However, it seems that both of them have not taken action ( or may be yet).
The amount of tax evasion would be (estimated) at half a million pounds (GBP). So it may be too small for taking action. Or it might be too late to investigate..
Best Regards
I have created a diagram and attached, which I hope help you understand the flow.
If anyone could provide any information, it would be much appreciated.
Due to the nature of the issues, I prefer not to disclose any identity of any parties involved including myself.
My question is:
* If the following issues are legal or not
* If there are any organizations/institutions which supervise UK Boarder Agency and Inland Revenue
(HMRC)
The company `A` = based in the City in London, employs (apprx) 300 employees consisting of various nationalities, and (apprx) 1,000 all over the world. Quite reputable and over the 50 years of sustained business with £120 m worth of assets.
I left my job at `A` last year due to the following issues. However, `A` is not entirely aware of the issues.
During my work time at `A`, I, by chance, found that there were malicious activities going on and was about to be involved with them.
The activities I believe malicious are:
providing illegal work opportunities,
employing illegal workers,
supporting tax evasion,
providing forged documents to the authorities,
Those people involved have since been trying to eliminate the proof of these activities, although they claim that all issues listed below are legal.
I was working in a department (at `A`) where my managers were British and colleagues were Oriental people. The problems were some of these Oriental workers (actually students).
The issue 1: Work permits
This company `A` declares to Home Office (and public) that all their employees have working entitlement in the UK: having right of abode in the U.K. Therefore, in order to create simpler employment environments and make some profits, some senior employees had set up non-operational companies such as a toy company or a jewellery company (let’s say company `TJ`). These companies only exist on official documents and no business trading exists.
Then these Oriental students applied for the work permits from Home Office (UK) claiming that they work for these non-operational companies `TJ`. Home office (UK) issue work permit for them, and then they started working for the company `A` instead. They are previously student visa holders, yet never or scarcely attended any educational institutions, but solely working for `A` in their office as like full-time employees. The company `A`, including HR department, were not aware of these arrangements at all that only these Oriental students and some senior workers knew about it: from my knowledge.
The issue 2: Tax evasion or avoidance?
The wages to these students had to be manipulated as the company `A` does not recognize them as employees.
Therefore, the senior worker also set up another company, (I,M,O, work as) money laundering company, in their native country (let’s say the company `H` in country HC).
These Oriental students (pretend to be employees of non-operational company `TJ`) invoiced the amount of their wage to the company `A` as supplier cost of `H`, `A` sent money to the company `H` as payment by international bank transfer, then the money was re-sent back to the bank account of those students in the U.K.
Therefore, the students declare to HMRC (UK) that they pay income tax in `HC` so that they are not liable for income tax in the U.K. And at the same time, they and the company `H` declare to the tax office in `HC` that they pay income tax in the U.K therefore they are not liable for income tax in `HC`.
Consequently, they stay in the UK as a `valid? ` work permit holder: working for `TJ`, and earn average £3,000 per month without any tax levy for simple office job which juniors normally do while their British managers earn 30k/anual (apprx £2.000/month after tax). They also have freedom of working hours: 5 months holiday could be easily possible (without wages though).
The issue 3: Forged documentations
Both above activities needed a lawyer to fill the official documents, the senior worker from `A` therefore employed a solicitor from S.E England area, who worked for all these students’ s manipulation of official documentations such as application for work permits, extension of the permits, renewal of visa status and tax records. This lawyer has a connection in HMRC (UK) so that all tax issues such as income tax, P45 and tax issues or PAYE for the company `TJ` had been manipulated according to their working condition at `A`. So, it all appeared to be legal on their documents.
How they declare to HMRC and how they manipulate the tax issues and wages are unknown. The lawyer and the senior employee at `A` had crafted the way and those students just followed the instruction from them.
All these were active between 2003 and 2012. I have actually contacted both UK Boarder agency and HMRC in 2013. However, it seems that both of them have not taken action ( or may be yet).
The amount of tax evasion would be (estimated) at half a million pounds (GBP). So it may be too small for taking action. Or it might be too late to investigate..
Best Regards
Attached Files
