The government has ordered the Tax Compliance Unit to start an investigation into possible tax evasion by Pierre Sladden and his company Redmap Ltd, as the fallout continues from the Panama Papers.
According to the latest revelations in the Panama documents, officials of auditing firm Nexia BT were last year making arrangements with Mossack Fonseka for Mr Sladden’s construction company to transfer money – nearly $1 million – to another company in the British Virgin Islands which is also claimed to be owed by Mr Sladden.
The transfer was being made through a convoluted structure of invoices for the ‘provision of services’ through another company registered in Cyprus, A2Z Consulta. This company on its part subcontracted the services to Mr Sladden’s BVI Company.
“This arrangement has elements of a classic example of tax evasion and that is why Mr Sladden has now been put under investigation,” a senior government official told Times of Malta.
“Investigations are underway to establish the facts, examine the company’s annual accounts and if necessary proceed with action,” said the official, who cannot be named in order to protect his identity.
In accountancy terms, such arrangements...
