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Australian politics
AsiaAustralasia

Australia’s deputy tax chief embroiled in fraud conspiracy worth US$122 million, making it one of country’s biggest ever white-collar crimes

Michael Cranston is not accused of being directly involved in the fraud, but allegedly accessed information from ATO systems for his son

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Australian Taxation Office deputy commissioner Michael Cranston. Photo: Reuters
Agence France-Presse

Australian police have smashed a massive fraud syndicate and seized planes, guns, and luxury cars, they said on Thursday, with a top-ranking tax official and his son embroiled in the scam.

Nine people were held during raids on homes and businesses across New South Wales state on Wednesday, accused of conspiracy to defraud the government of A$165 million (US$122 million) in one of the biggest ever white-collar crimes in Australia.

Australian Tax Office deputy commissioner Michael Cranston faces abuse of power charges and up to five years in jail, while his high-flying son Adam was allegedly among those who masterminded the elaborate scheme. Cranston’s daughter was also reportedly arrested.

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“The allegation of the value of the fraud in this conspiracy is A$165 million taken from the taxation system,” said Australian Federal Police Deputy Commissioner Operations Leanne Close.

She said the motivation appeared to be to fund lavish lifestyles.

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They were using the scheme “to divert the taxpayers’ money into cars, jewellery, cash, motorbikes”.

Assets seized included A$15 million in cash, two planes, 18 properties, 24 luxury and vintage cars, firearms, artwork and rare wines.

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