Pubdate: Wed, 16 May 2007 Source: Vancouver Sun (CN BC) Copyright: 2007 The Vancouver Sun Contact: http://www.canada.com/vancouver/vancouversun/ Details: http://www.mapinc.org/media/477 Author: Doug Ward, Vancouver Sun WHAT THE COURT GAVE HIM THE TAX MAN TAKES AWAY Police Were Ordered To Return $800,000 Seized From Ex-Stock Trader, Which Is About What He Owed The Government Five years ago, police officers investigating one of the largest drug money laundering schemes in Canada seized almost $800,000 in cash found in the trunk of a Porsche driven by Piotr Robert Sperka, then a stock trader. While the money laundering ringleader Dat Dac Tien (Frank) Tran was sentenced in 2006 to 10 years in prison after pleading guilty to orchestrating the laundering, Sperka was never charged. He recently won a court judgement, ordering the Vancouver police to give him back the money. But Sperka never got the windfall -- thanks to the long arm of the Canada Revenue Agency. The tax agency, backed by a Federal Court order, seized the money -- $792,980 to be exact -- and applied it to Sperka's tax debt. "He still owes the CRA other money but this will cover a huge portion of his debt," said agency official Ravinder Dhami. The Federal Court gave the CRA a "jeopardy order" in April, which is made when there's reason to believe a delay would jeopardize tax collection. In March of this year, the CRA issued an assessment of $773,763 in taxes, interest and penalties, based on an estimate of Sperka's income for the 2002 tax year, said Dhami. The CRA argued in Federal Court that Sperka failed to file income tax returns since 2001, Dhami said. The CRA told the court Sperka had failed to adhere to a repayment scheme, which he'd worked out with the taxation agency, she added. The CRA argued it was unlikely Sperka would use the money to repay the CRA and that he had no other known assets. The CRA also said Sperka's whereabouts are unknown. The nearly $800,000 in Sperka's Porsche was found by police involved in a drug investigation, code-named Project Blizzard, which was started in 2001 by the Organized Crime Agency of B.C. Tran pleaded guilty to laundering $200 million in cocaine money between Jan. 1, 2001 and Jan. 23, 2003. He provided currency exchange services to cocaine traffickers and marijuana exporters in the Lower Mainland. Among the people who received Canadian currency from Tran was Sperka who allegedly gave $500,000 US to Tran, who exchanged it for the $793,510 Cdn that police found in the Porsche. The CRA works closely with other law enforcement agencies through its special enforcement program, conducting audits and taking action against people who are known or suspected of deriving income from illegal activities. THE FOLLOWING ARE SOME STATISTICS FROM THE PROGRAM: - - 2003-2004: 1,100 audits (identified $55.9 million in additional tax owing.) - - 2004-2005: 1,196 audits (identified $75 million in additional tax owing.) - - 2005-2006: 1,349 audits (identified $80 million in additional tax owing.) - --- MAP posted-by: Derek