Properties of Treasure Biz had been returned before the court delivered its verdict: MIRA

The Maldives Inland Revenue Authority (MIRA) has said that the properties seized from Treasure Biz International Private Limited had been returned before the Civil Court delivered its verdict on the case related to this matter.

An official of MIRA told Sun Online that the court was informed while the case proceedings were ongoing, that the properties had been returned with written confirmation from the company that the items had been received.

He said that the written confirmation had also been presented to the Civil Court, however, the court chose to disregard the document and deliver a verdict on this case; and for this reason, the verdict will be appealed in the High Court by MIRA.

“MIRA noted during the trial of the case filed by Treasure Biz International in the Civil Court that the properties of the company that had been seized by MIRA had been returned. MIRA had even presented to the court the document confirming that the items had been returned. But the court did not take this into account when it delivered the verdict to hand over the items within seven days. So MIRA has decided to appeal the verdict in the High Court,” he said.

MIRA has said that the accusations made by Treasure Biz International against MIRA regarding the Civil Court ruling are not true.

The official of MIRA who spoke to Sun Online said that MIRA entered the premises of Treasure Biz International on 25 December 2012 under a warrant issue by the Tax Appeal Tribunal.

He said that according to the Tax Administration Act, MIRA has the authority to enter and check premises and seize properties.

He said that the items that were seized on 25 December 2012 were returned to Treasure Biz International on 14 January 2013. He highlighted that neither the Tax Administration Act nor the Tax Appeal Tribunal Regulation state a time limit for returning seized properties to their owner.

He said that even though the law does not specify rules in this regard, MIRA believes it has the authority to withhold properties, because if the items had been returned, Treasure Biz International would have had the opportunity to destroy evidence.

“Maldives Police Service is also an institution that carries out investigations. Anti-Corruption Commission also carries out investigations. Both these institutions do not return seized items before the court delivers verdicts on cases that are under investigation. Otherwise the suspect would have the opportunity to destroy evidence. The original documents have to be presented to the court. So MIRA believes that if it returns the seized documents, they would have the opportunity to destroy evidence,” he said.

MIRA also responded to Treasure Biz International’s claim that the warrant issued by the Tax Appeal Tribunal was a violation of the Constitution.

MIRA’s official said that if Treasure Biz International believes that the warrant issued by the Tax Appeal Tribunal is not legitimate, the issue should be appealed in the High Court; and as long as the High Court does not change the warrant, MIRA would have the authority to carry out the activities permitted by the warrant.

He said that Treasure Biz International’s claims hinder the efforts to establish a modern tax system, and noted that it is normal practice in democratic countries for authorities to withhold items seized from companies until court proceedings are completed. He also said that the company also had not registered any of its shops with MIRA.