Construction Boss Jailed for $10M ATO Fraud Using Shell Companies
December 6, 2024
The conspirators provided employees to major construction firms, including Multiplex, and dissolved companies when faced with tax scrutiny.
Construction boss George Alex has been sentenced to nine years and three months in prison for his central role in a conspiracy to defraud the Australian Taxation Office (ATO) out of over $10 million.
The fraud scheme, which operated from 2018 to 2020, involved creating shell companies to pay workers, allowing the group to evade more than $10 million in pay-as-you-go withholding tax.
The Crown described Alex's actions as 'lengthy, persistent and calculated,' emphasizing his critical role in executing the fraud.
Justice Desmond Fagan condemned the fraud as a significant offense against taxpayers who contribute lawfully to public services.
The judge highlighted that it was inconceivable for the co-conspirators to act without Alex's agreement and instructions, underscoring his dominant role in the scheme.
Alex will serve a non-parole period of six years and two months, while his four co-conspirators received sentences ranging from five to eight and a half years.
The operation was run through a labor-hire business secretly owned by Alex, who was an undischarged bankrupt.
Loccisano and Bryers received sentences of eight and a half years with a non-parole period of six years, while Kirschberg and McAndrew were sentenced to eight years with a non-parole period of five and a half years.
Alex received significant criminal proceeds, including $1 million transferred to a personal company, $150,000 in rental payments for his home, and $74,000 for a Range Rover for his wife.
During sentencing, the judge noted that none of the conspirators showed remorse for their actions.
The trial lasted six months and cost taxpayers $6 million in legal assistance for four of the offenders.
Summary based on 2 sources
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Sources

The Sydney Morning Herald • Dec 6, 2024
‘No remorse’: George Alex jailed over $10 million tax fraud
news.com.au — Australia’s leading news site • Dec 6, 2024
Construction boss slammed for $10m tax scam