Lawyer in tax fraud probe works in presidency
ANOTHER HIGH flyer during the Ricardo Martinelli era may soon be forced to eat dirt over alleged tax fraud after the Directorate General of Revenue (DGI) ordered the seizure of accounts and assets of companies linked to the business of the Showpro promotion company and its director, Alfredo “Popa” Arias as part of an investigation.
Also figuring in the investigation is a lawyer who has been working in the current presidency since January 2015
The order included the seizure of property and bank accounts of Ashe Entertainment Group and World Wide Promotions Group, as well as the personal accounts of Arias. The amount seized is estimated at $10.2 million.
The investigation is focused on the relationship between Ashe Entertainment Group and another company, A Entertainment Solutions Corp., which took over the other company. This transaction was suspicious because, according to tax filings, Ashe Entertainment Group did not report any profits for several years. The legal representative of A Entertainment Solutions Corp. is Katia Fábrega, who has worked in the Presidency since January 2015. Fábrega also worked for the government of Martinelli.
The DGI said that the transaction appears to have been a deliberate attempt to avoid the payment of taxes.
Currently Showpro has its administrative offices in the premises of NexTV, which is owned by Martinelli. It was also hired by the government to put up holiday decorations in areas of Panama City.
The allegations is that Showpro manipulated contracts to hide revenue. The amount of the tax evasion has been estimated at $1.7 million.
Showpro, which is owned by Ashe Entertainment, did not report any profits in 2009, 2010, 2011 and 2012.
The DGI notes that there is a transfer agreement between Ashe and Enjoyment entertainment Group, SA, and A Entertainment Solutions Corp., the statement seems “suspicious” that the latter will be of interest to contract with a company that according to tax returns is not liquid
The DGI notes that the investigations realize that “Ashe Entertainment Group, Fabrega Alfredo Arias and Katia Fabrega have expressed a deliberate conduct that seems to be the constant solutions for companies in the same business group omitting taxes. Showpro currently has administrative offices located in NexTV facilities owned by ex-president Ricardo Martinelli, and has won contracts with the National Assistance Program (PAN) (now Directorate of Social Assistance) in the current administration.
The Directorate General of Revenue (DGI) warns that Showpro entertainment company and its most visible figure, businessman Alfredo Arias, had a modus operandi to avoid paying taxes. Therefore, the company launched investigations to companies linked to Showpro and two orders were issued Jan.5 for sequestration of property and bank accounts of companies and Arias himself up to the amount of $ 10.2 million.
The DGI considers that the group of companies declaring less income than they actually had; suspected contracts with other companies to which bills were passed in order to avoid paying taxes; and dissolution of companies that had debts with the IRS.
In total, the DGI estimates that companies stopped paying the Treasury $ 1.7 million.
The DGI will call attention to the existence of an “apparent transfer agreement and sponsorshipdeal with A Entertainment Solutions, Corp., signed on May 20, 2013.
The DGI is “suspicious” that the company has an interest in concluding a contract of assignment and enjoyment of rights in a company that, according to tax returns, had no liquidity. “In addition, those responsible for providing information about it, manifested during the investigation that this is a paper company that does not generate revenue “
A legal representative of Entertainment Solutions Corp. is Katia Fabrega, who currently serves as a legal advisor in the office of the presidency.
The DGI justifies the precautionary seizure after noticing a pattern of “recklessness and calculation detriment of the treasury.”
