Accountant faces claims of setting up a tax scam

A FINANICAL advisor has appeared in court accused with helping two 'celebrity accountants' to organise a multi-million pound tax scam involving some of their wealthiest clients.

Vikash Kulkar, from Twickenham, appeared at Highbury Corner Magistrates' Court on Friday (30), alongside Roy and Shirley Faichney, of Barnhill, Eastcote, and David and Nicola Perrin, from Luton.

Senior executives Mr Faichney and Mr Perrin face claims they set up a sophisticated scheme to evade tax on £219 million in charitable donations. Their wives are also accused of involvement in their husbands' dealings at stockmarket listed accountancy firm Vantis.

It is alleged Kulkar, 55, helped attract people to the scheme.

All five face prosecution by HM Revenue and Customs for 'cheating her Majesty and the public revenue'.

Hundreds of people are said to have participated in the Vantis tax scheme, including an Oscar winning film executive, a celebrity psychiatrist, senior City bankers, top barristers and company directors.

Faichney, managing director of Vantis' tax division, and Perrin, the deputy managing director are accused of 'devising and promoting' the scheme, from which they both allegedly made £4.5m which they kept in offshore bank accounts to evade tax.

Prosecutor Julian Christopher said: "The prosecution allege that Mr Perrion and Mr Faichney devised and promoted a tax scheme which took advantage of the legislation providing tax relief on the donations of share to charities."

Kulkar, along with the other men, listed 328 million shares in four companies in the Channel Island Stock Exchange and then sold them to investors at a value of £1 and claimed tax relief on them, the court heard.

Mr Christopher added: "This allowed claims to be made for tax relief of an estimated £219m."

Kulkar helped to 'artificially rank' the shares on the stock exchange, is is alleged.

The five are due to appear at Blackfriars Crown Court on January 18, where they are expected to deny the charges.