Save
GST fraudster cops 5 years in jail over $5m scheme
A 38-year-old man has been sentenced to five years imprisonment after conspiring to defraud the Commonwealth of more than $5 million through the goods and services tax refunds.
GST fraudster cops 5 years in jail over $5m scheme
A 38-year-old man has been sentenced to five years imprisonment after conspiring to defraud the Commonwealth of more than $5 million through the goods and services tax refunds.

The Australian Taxation Office (ATO) alleges that over a two-year period, Michael Ray had illegally obtained personal identifying information and used it to create false entities and register them for GST.
Mr Ray would then lodge business activity statements to claim false GST refunds, which were directed into bank accounts created through the stolen identity.
In total, the scheme intended to defraud the Commonwealth of more than $5 million.
The Australian Federal Police (AFP) and ATO joint investigation, known as Operation SPINEL, identified and charged Mr Ray in May 2017, along with two other members of the Victorian-based fraud syndicate.
The verdict was rendered by the Melbourne County Court on Monday, 23 November.

ATO Assistant Commissioner Ian Read said this is a successful result under the partnership of the ATO and AFP, who work together to investigate serious criminal activities.
“Tax crime affects the whole community by reducing the revenue that is available to fund essential community services. We know the majority of people are honest, but there are a small percentage of people who deliberately abuse the tax and super system for their own financial benefit. Today’s sentencing shows that these people will be held to account.”
Mr Ray was charged after detectives identified he had attempted to obtain a share in over $5 million and dishonestly obtained a share in more than $2.5 million from the GST fraud scheme which had operated between 12 November 2010 and 14 December 2012.
Police executed search warrants at a number of Melbourne properties and safety deposit boxes, seizing more than $1.5 million in cash.
About the author

About the author


Scams
ANZ warns Australians to stay alert for scams during end of financial year
ANZ is warning customers to remain vigilant during the end of financial year period as scammers attempt to target Australians during tax time. Read more

Scams
ANZ warns customers of potential scam surge following RBA rate cut
ANZ has issued a warning to customers about a potential rise in scam activity following the Reserve Bank of Australia's decision to lower the cash rate target by 25 basis points. Read more

Scams
Financial Basics Foundation warns of e-commerce ‘gamification’ targeting Gen Z shoppers
The Financial Basics Foundation has raised concerns over the impact of increasingly sophisticated digital marketing tactics on young consumers during Financial Literacy Month, highlighting the need ...Read more

Scams
ANZ warns Australians of scam risks following Ex-Tropical Cyclone Alfred
ANZ is urging customers and the broader community to remain vigilant against scammers impersonating trusted organisations in the wake of Ex-Tropical Cyclone Alfred. Read more

Scams
Navigating online money-making: Scams to avoid
In an era where the click of a button can lead to monetary gain, the internet has become a bustling marketplace for those looking to supplement their income. However, where there is opportunity, there ...Read more

Scams
Cyber criminals using interest rates as bait to trick customers
If you’ve ever found yourself on the receiving end of a suspicious phone call, e-mail or text message claiming to be from a major bank and demanding your details, you’re not alone – and experts are ...Read more

Scams
ATO cracks down on $850m GST fake business fraud
A nationwide crackdown on incidents of fraud involving the creation of fake businesses to scam GST refunds from the federal government has led to the Australian Taxation Office (ATO) firmly warning ...Read more

Scams
Crackdown sees more than half a billion scam calls blocked
Initiatives by telcos and the ACMA have also led to a 95 per cent reduction in reports of mobile porting fraud. Read more

Scams
ANZ warns Australians to stay alert for scams during end of financial year
ANZ is warning customers to remain vigilant during the end of financial year period as scammers attempt to target Australians during tax time. Read more

Scams
ANZ warns customers of potential scam surge following RBA rate cut
ANZ has issued a warning to customers about a potential rise in scam activity following the Reserve Bank of Australia's decision to lower the cash rate target by 25 basis points. Read more

Scams
Financial Basics Foundation warns of e-commerce ‘gamification’ targeting Gen Z shoppers
The Financial Basics Foundation has raised concerns over the impact of increasingly sophisticated digital marketing tactics on young consumers during Financial Literacy Month, highlighting the need ...Read more

Scams
ANZ warns Australians of scam risks following Ex-Tropical Cyclone Alfred
ANZ is urging customers and the broader community to remain vigilant against scammers impersonating trusted organisations in the wake of Ex-Tropical Cyclone Alfred. Read more

Scams
Navigating online money-making: Scams to avoid
In an era where the click of a button can lead to monetary gain, the internet has become a bustling marketplace for those looking to supplement their income. However, where there is opportunity, there ...Read more

Scams
Cyber criminals using interest rates as bait to trick customers
If you’ve ever found yourself on the receiving end of a suspicious phone call, e-mail or text message claiming to be from a major bank and demanding your details, you’re not alone – and experts are ...Read more

Scams
ATO cracks down on $850m GST fake business fraud
A nationwide crackdown on incidents of fraud involving the creation of fake businesses to scam GST refunds from the federal government has led to the Australian Taxation Office (ATO) firmly warning ...Read more

Scams
Crackdown sees more than half a billion scam calls blocked
Initiatives by telcos and the ACMA have also led to a 95 per cent reduction in reports of mobile porting fraud. Read more