Their trial,expected to run for six months,began at Darlinghurst courthouse on Tuesday afternoon before Justice Anthony Payne. Crown prosecutor Paul McGuire,SC,for the Commonwealth Director of Public Prosecutions told the jury he anticipates his opening address will take three days.
The Crown alleges that between March 2014 and May 2017,the five accused developed a scheme through worker payroll services company Plutus Payroll to collect PAYG (pay as you go) withholding tax and GST (goods and services tax) that should have been paid to the Australian Tax Office. “Extraordinarily large amounts” were instead allegedly retained and used for their benefit and those associated with them.
The prosecutor said the charges arose from a police investigation called Operation Elbrus and “unbeknownst to the accused”,many of their conversations and telephone calls were recorded by authorities from about October 2016.
He suggested that in audio from January 2017,the jury would hear Adam Cranston had allegedly said,“If this was fully uncovered,and they knew exactly what was going on,it would be f--ing Ben Hur man,this is a big-sized company”.
McGuire expects the jury to hear evidence that Dev Menon responded:“It would be the biggest tax fraud in Australia’s history. Definitely,there is no question,it would be the biggest tax fraud”.
The prosecutor said employers paid Plutus Payroll gross amounts covering their workers’ full salary,superannuation and other expenses including the PAYG component. Plutus charged and collected GST on the payroll services it provided.