Sanjay Shah – What Was The Driving Force Of Solo Capital?

In Scandinavian Countries, False Propaganda is OK – Denmark Is On top Of the Game

Note: This is a continuation of this blog. Read it first to understand why we think Sanjay Shah is framed in a dirty political war n Denmark. 

The only reason we spoke about Margrethe Vestager although she has no direct relationship with Sanjay Shah Solo Capital or Sanjay Shah Denmark tax fraud claims is simple. She was the finance minister of Denmark and she was the leader of a communist inclined Danish Social Liberal Party. We are all told by media that Denmark is one of the most peaceful nations on earth and it is number one in corruption free index. When we ev

sanjay shah and EU verdict on apple truth

Sanjay Shah

aluate Sanjay Shah’s case or Apple’s case, some of these prejudices do result in forming a biased opinion.

 

 

EU is notorious for making juvenile decisions that are damaging to its members and the EU itself. The patent proposal on computer generated inventions in 2002 is a good example. It was finally overthrown in 2005, but the proposal did a lot of damage before ending up in the dustbin.

Why Sanjay Shah?

Is it possible for an individual to fraud a government authority and route 7 billion Danish Krone out of the country? Yes it is possible. Is it possible that Sanjay Shah acted on his own and he is the main suspect in such a case? That’s possible too, especially when you read some of the newspaper headlines. But when you dwell deep into the subject, the loose ends keep on popping up.

sanjay shah is an easy scapegoat for crooked politicians

Sanjay Shah with his autistic son Nikhil. (c) Greg Allen Photo/Sanjay Shah

But here is the tricky part. There are quite a few disparities in the information shared by the Danish government and misinformed media houses and recent developments in the case. Initially, the government claimed a loss of $850 million. They told that the fraud took place from 2012 to 2015, for a span of three years. Interestingly, it was not Denmark’s tax investigation authority – SKAT – that found out on the millions of fraud going on. Danish government found out about a fraud of this size through anonymous informants!

So Many Mismatches – It’s worse than a Bad Movie Script

A recent report in Bloomberg says;

“The embarrassment caused by the tax fraud, which spans about a decade of successive administrations, has prompted Lauritzen to consider debt collection methods not usually associated with Scandinavian governments”.

Yes, you read that right. The so called fraud happened in a span of 10 years. It was slowly becoming a part of Denmark’s national culture before two anonymous sources blew it up for everyone. Sanjay Shah did not run Solo Capital for 10 years. It was only in 2009 that his company was incorporated. Now comes the worse part. The numbers don’t match with the initial claims and the reasons given are, well, nothing!

sanjay shah political victim of danish corruption

Calm before the Storm: Danish politicians are too sly and managed to frame an individual when 2,000 bills of 3 million was screened through the approval process of Denmark’s finance ministry. In the end, the only accused is Sanjay Shah.
Image Courtesy – Shutter Stock

Bloomberg reports;

“Denmark revealed it had lost as much as $4 billion in taxes through a combination of fraud and mismanagement, the minister in charge of revenue collection says that figure may need to be revised even higher.”

Now, here are the questions skeptics will ask:

  • When the total amount of fraud committed was 14 billion Krone according to the initial reports, Sanjay Shah’s firm is responsible for benefiting 6 billion Krone.
  • Now the numbers shot up to 50 plus billion Krone. You say it is a combination of fraud and mismanagement. How much is mismanagement accounted for? 25 billion? 30 billion? 40 billion?

 According to a report in a Danish daily in 2015, Denmark authorities are investigating the involvement of 76 foreign companies.

You can read the story here – Story.

The story ends with the comment from Jacob Bræstrup, the head of the taxation department at the business advocacy organization Dansk Industri. He says;

“They just give a picture of the number of cases where SKAT disagrees with the companies, not how much money SKAT is due.”

Jacob Bræstrup reveals Sanjay Shah truth

Jacob Bræstrup: Image Courtesy -Arbejderen.dk

According to this story, the tipoff came from a lawyer who wanted the fraud to be stopped and London banks who noticed suspicious financial activity. These events make one thing very clear: SKAT, Denmark’s investigative authority to find out on fraudulent transactions or mishandling of funds is not competent. The other possibility is that Denmark is not as corruption-free as we thought. It explains why Sanjay Shah is the main focus of rumors and allegations.

  • Sanjay Shah is a family man living in Dubai. His life and personal activities are very public and information about him is easily accessible.
  • Solo Capital was an established brokerage firm with offices in London.

It is easy to throw mud at Sanjay Shah. He is not going to run away. He is a philanthropist and the founder of Autism Rocks. His current project, the Autism Rocks Arena is a one of its kind outdoor auditorium that has a unique vision. Read more about Autism Rocks arena here – Autism Rocks Arena.

Sanjay is a philanthropist with a vision and his plans for the future are larger than life. It is very easy to target an individual like Sanjay Shah of Autism Rocks because his successful career induce a sense of skepticism. Pointing your finger at him is easy.

After the tax fraud claims, Danish National Office conducted an investigation and the key findings in Danish National Audit Office’s report are:

  • That the DTA repaid dividend withholding tax amounting to approximately DKK 3.2bn after receiving information on suspected fraud.
  • That the DTA failed to carry out basic control of information on the reclaims, including information on ownership, verification that tax had actually been withheld and whether the form had been approved by a competent authority.
  • That the DTA, without any statutory power, had delegated the task of controlling reclaims filed to three separate banks without ensuring that the banks actually carried out the control required.
  • That, despite receiving numero
    carbon footprint in danmark

    Denmark may look like an environment friendly nation but many don’t think so. In this Guardian Article ‘Clean’ Denmark’s dirty secret, the writer explains why Denmark’s clean, positive look absorbed in Copenhagen by tourists from all the world is deceptive. This also makes it clear that Danish politics is very clever at concealing the truth. 

     

    us indications of possible risks, the Danish Ministry of Taxation failed to investigate the issue even though a simple analysis would have uncovered the problem.

Among the most interesting points of the Danish National Audit Office’s report are the discoveries below:

Denmark conceals many dirty political secrets. Tax fraud case is a good example.

  • The amount of dividend withholding tax repaid increased from DKK 0.8bn in all of 2010 to DKK 9.3bn in the first seven months of 2015, corresponding to an increase of approximately 1,300%.
  • The suspected fraud – currently estimated at DKK 9.1bn – amounts to 2/3 of the total amount repaid under the “blanketordning” repayment scheme.
  • In 2014, the DTA repaid 111% of the dividend tax actually withheld for one single company.
  • Although the DTA has implemented a control function in respect of the repayment of withholding tax in excess, such function was disabled for a number of companies in the period from 2013 to July 2015.
  • The average amount of reclaims filed increased by 1,700% from DKK 37,113 in 2010 to DKK 681,007 in 2015. The DTA’s initial report filed on suspected fraud covers 2,120 repayments at a total amount of DKK 6.1bn, corresponding to an average repayment of DKK 3m in respect of each reclaim.
  • Despite receiving and approving monthly accounts, the Danish Ministry of Taxation did not find any reason to investigate the increase in dividend withholding tax repayments.

Continued in part III

 

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  • Jesper Østergaard

    This entire article is BS….. SKAT did investigate, and found out the exact numbers lost, and it wasn’t informed by anomynous sources, they let out all the information publically in this area…. they were however warned, after the same scam, also by Sanjay, happened to other countries! But the bill was bigger in DK. The more than 4 billion also wasn’t him alone, but far the majority, and they named 2 other people as well as main witnesses.

    Yes, it’s embarrissing for the danish tax authorities, but there you are going completely off topic. THey fucked up, yes, but it’s always like that when someone loses money, that is so fucking obvious. They have sooo much evidence against him, and the second he was spotted, he fled to Dubai because he knew that he was guilty, and he refuses to leave it, because Denmark and UAE has no extraction policy between them, so if he leaves, he will get arrested and sent to Denmark to face trial….