The Canada Revenue Agency (CRA) announced on Tuesday that a Laval resident was sentenced at the Montreal Courthouse to a five-year prison term and a fine of $850,817 in an attempt of tax evasion.
Mohamad Jaber pleaded guilty on May 5, 2023 to one count of conspiracy to commit tax evasion under the Income Tax Act, money laundering, trafficking in property obtained by crime and operating a money transfer business without the required registration, according to a statement from the CRA.
An investigation by the latter revealed that Mohamad Jaber had set up a scheme to launder money from the illicit activities of various people.
“Mr. Jaber used an informal value transfer system with ramifications in several countries and earned kickbacks using false invoices or accommodation invoices aimed at disguising the true origin of the funds,” the CRA said.
“Mohamad Jaber also used nominees to set up three companies and open bank accounts in their names, thereby creating a second scheme to legitimize the appearance of funds deposited in their bank accounts,” he said. added the federal agency.
Using his scheme, the Laval resident allowed third parties to deduct false expenses on their T2 corporate tax returns, which allowed them to try to evade an amount of $850,817, according to the CRA .
In addition to the sentence and incarceration, Mohamad Jaber had property worth an estimated $4.6 million confiscated as proceeds of crime.
