Indian-origin rugby team doctor in New Zealand reveals motive behind tax fraud

A 37-year-old Indian-origin doctor for the Highlanders Rugby team has admitted to nearly $140,000 in tax fraud and has been sentenced to five months of home detention and 200 hours of community work in New Zealand. Singh had also previously been penalised for “gross carelessness” regarding his tax obligations. On Thursday, Singh told the court that it was “greed and self-entitlement” that made him commit the tax fraud.

Singh’s fraudulent activities were uncovered during a random audit by the Inland Revenue Department (IRD) in February 2021.

Singh, who also worked as a General Practitioner (GP) at Te Kaika, a healthcare unit, appeared in the Dunedin District Court on April 23, 2024, where he admitted 15 charges laid by the Inland Revenue department under the Tax Administration Act, according to the Otago Daily.

Despite his efforts to secure a discharge without conviction, Judge David Robinson declined the application.

“It’s sustained offending and I’m left with the inescapable inference that, but for the enquiry by IRD when it occurred, this is offending that would have likely continued,” Judge Robinson said.

The judge also noted that Singh had previously been penalised for “gross-carelessness” regarding his tax obligations, highlighting that Singh was fully aware of the consequences of his actions.

SINGH USE ACCOUNTING SOFTWARE TO MISREPRESENT INCOME

Singh’s defence counsel, David Weaver, admitted there was some sophistication in his client’s crimes, as Singh used accounting software to misrepresent his true income.

“He acknowledged it was self-entitlement and greed. He doesn’t shy away from that,” Weaver said. “He does not and has not offered excuses for this,” reported the Otago Daily.

The investigation revealed that Singh’s company, Dr A Singh Ltd (DASL), declared a profit of only $23,000 for the 2020 tax year, despite significant financial activities, including property purchases worth $1.4 million.

Further scrutiny by the IRD uncovered undeclared income from Singh’s roles with the Super Rugby franchise, Otago Rugby, and Te Kaika.

In response to the audit, Singh made a full admission of his income omissions between 2019 and 2021 and repaid $118,948 to cover his tax liabilities.

However, the Inland Revenue Department (IRD) continued its investigation, revealing additional discrepancies totalling $137,444, including shortfalls in GST, income tax, Working for Families tax credits, and a student loan.

Singh apologised to his employers and the Highlanders’ playing group for the “hurt and embarrassment” caused by his actions.

New Zealand Rugby (NZR) has since launched its own investigation into the matter.