MONTREAL – Quebec construction magnate, Tony Accurso, was arrested for a second time with four others by the Royal Canadian Mounted Police (RMCP) Thursday in an early morning sting.
In a press conference later in the day, Cpl. Luc Thibault of the RCMP’s communications office confirmed that charges involving fraud and corruption have been laid against four of the five arrested.
The fifth remains in custody for questioning; no details were provided about his identity or his involvement in the case.
Helped by corrupt Canada Revenue Agency (CRA) officials, the suspects allegedly used a phony invoice scheme to evade the payment of federal income tax.
According to RCMP, the scam helped those involved to avoid paying federal income taxes on a sum of $3 million.
Antonio Accurso, 60; Francesco Bruno, 50; Francesco Fiorino, 53; and Adriano Furgiuele, 43, are each facing six counts of conspiracy, fraud, forgery and breach of trust by a public officer.
All four suspects are to appear at the Montreal Court House on September 19, 2012.
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Arrested
Frank Bruno is a Quebec businessman and president of B.T. Céramique. Last year, Bruno and his company were found guilty of tax evasion. Bruno had made false or misleading statements on his 2005 and 2007 personal income tax returns – by not declaring $1,202,827 in revenue, he tried to avoid paying $287,475 in income tax.
Francesco Fiorino was Bruno’s accountant and worked at Fuller Landau, a Montreal-based chartered accountant firm.
Adriano Furgiuele is a former Canada Revenue Agency auditor and Francesco Bruno’s cousin.
Antonio Accurso heads Simard-Beaudry Construction Inc. – one of the largest construction companies in Quebec. A key figure in these corruption controversies, this is the second time that Accurso has been arrested this year. In April, Acurso was charged with fraud, influencing a municipal official and conspiracy following an investigation into allegations of corruption by Quebec’s Permanent Anti-Corruption Unit (UPAC).
The scam
The extensive RCMP investigation into fraud and corruption called “Project Coche” began in 2008 – and is still ongoing.
According to an RCMP statement, the investigation kicked off after “certain documents” were found at Fiorino’s office in 2008.
These documents revealed what appeared to be irregularities in accounts held by Bruno and other shareholders in his company, B.T. Céramique.
One document discovered in Fiorino’s office and called the “Plan of Action” was particularly damning.
Apparently created by Furgiuele, it outlines a 17-step action plan to avoid Revenue Canada audits of companies owned by Bruno and Accurso.
Corruption in Quebec’s construction industry is currently the focus of a public inquiry and has become a major issue in the upcoming provincial elections.
Public’s help
The RCMP are asking anyone with information related to federal officials suspected of corruption and/or fraud against the federal government to call 514-939-8304.
– With files from The Gazette
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