GRA files 10 charges of false declarations against Ramps Logistics

Oct 06, 2022 News

…company refutes allegations

Kaieteur News – The Guyana Revenue Authority (GRA)’s Law Enforcement and Investigations Division instituted 10 charges in the Georgetown Magistrate’s Court yesterday against Ramps Logistics (Guyana) Inc for false declarations.

GRA said its investigation determined, among others, that during the period of 2021 to 2022, the company made several untrue declarations.

The revenue authority said the move to the courts is in keeping with its mandate to ensure there is a ‘level playing field’ for legitimate businesses and the collection of revenue. It also urged individuals/companies involved in any such illicit activities to cease and desist there from, and bring their businesses into compliance with the nation’s Tax, Trade and Border laws.

Kaieteur News previously reported that the Law Enforcement and Investigation Division was probing Ramps Logistics Guyana for abusing blanket tax waivers granted for the importation of goods to be used by Stabroek Block operator, Esso Exploration and Production Guyana Limited (EEPGL), and its subcontractors.

GRA Commissioner General, Godfrey Statia

Key documents seen by Kaieteur News stated that LEID was in possession of information that Ramps in certain instances made declarations that were inconsistent with its invoices. In this regard, the division had cited a case on December 13, 2019, where it checked a shipment of goods consigned to EEPGL where Ramps Logistics Incorporated was listed as the declarant.

The LEID report reads, “The said declaration was deemed false since the quantity of the goods declared was inconsistent with the information stated on the invoice. The said act constituted a breach of Sections 217 (1) (a) and 219 of the Customs Act, Chapter 82: 01, respectively. In the said matter, the Commissioner General (Godfrey Statia) in accordance with Section 271 of the Customs Act, Chapter 82:01, invoked his discretionary power and waived the proposed compensation of $500,000 for the acts committed.” The report further noted that the Commissioner General Godfrey Statia also directed that the company be advised that should there be a recurrence of this nature, strict penalties would be imposed.

The document at this point went on to state that LEID was conducting an investigation based on information received that Ramps Logistics Guyana Inc., “continues to falsely declare consignments under the guise that same is being imported for Esso Exploration and Production Guyana Limited and its subsidiaries/subcontractors using their blanket tax exemption letter when in fact, same is being imported for other persons.”

Kaieteur News understands that Ramps was also a few months ago, fined $20M for shipping items out of Guyana to Trinidad without having the vessel used, properly inspected. GRA seemed particularly disturbed by this case since specific instructions were issued for the vessel to await inspection but said instructions were never acknowledged. GRA was therefore unable to determine independently the quantity of items that left these shores. The said items were sold to Ramps by EEPGL.

Ramps response

Meanwhile, in a statement of its own, Ramps Logistics Guyana (RLG) said that on Wednesday, it was made aware of the charges filed in the Georgetown Magistrate’s Court. According to the company, five days prior on Friday September 30^th, 2022, it had filed an application for Judicial Review against the Local Content Secretariat. “While these charges will be reviewed and responded to by our lawyers through the court system, it is important to note the following: Every declaration filed by the GRA is in respect to Duty Free importations. There are no taxes or duties applicable on the imports and so there is no loss of Revenue to the GRA.”
The company said on July 12^th, 2022 – the GRA wrote it informing of an investigation into alleged false declarations. “July 25^th, 2022 – RLG’s lawyers wrote the GRA responding on why the allegations raised by the GRA had no basis in law and clearly outlined the sections of the Guyana Customs Act that they relied on to form this opinion. September 29^th, 2022 – 8 weeks later, the GRA responds to RLG. Their response does not address any of the legal points raised by RLG’s Lawyers. September 30th, 2022 – RLG files for Judicial Review against the Local Content Secretariat. October 5^th, 2022 – GRA issues a Press Release to say they are filing charges against RLG for False Declarations. We have always respected the laws of every country we operate in and have always been transparent in everything we do. We will continue to operate with the highest levels of integrity. We continue to be committed to Guyana and hope for a fair and speedy resolution of this situation.”