In a recent development, former F1 CEO Bernie Ecclestone has pleaded guilty to committing a $492,000,000 fraud. The 92-year-old has admitted that he didn’t disclose this worth of assets that he held in a trust in Singapore. As a result of his admission of guilt, there is a remote possibility that he could face jail time.
The investigation regarding his assets began after he failed to disclose the details of his trust to the government in July 2015. Soon after the HM Revenues and Customs (HMRC) carried out a tax investigation, they noticed some discrepancies. They realized that Ecclestone had only declared a single trust to the authorities, and that, too he established on behalf of his daughter. As quoted by bbc.com, the former F1 CEO had told HMRC initially that he was neither “the settlor nor beneficiary of any trust in or outside the UK.”
However, following a further investigation, the prosecutors found that Ecclestone stood to gain from the trust he had in Singapore. As a result, they charged him earlier in the summer. Since Ecclestone pleaded not guilty back then, the case continued until recently.
Bernie Ecclestone pleads guilty to $492,000,000 fraud
Bernie Ecclestone appeared at the Southwark Crown Court on October 12 and told the judge that he pleaded guilty. After pleading guilty, he handed over $801,911,100 to the HMRC to end the probe into his tax investigations.
Since the 92-year-old has now pleaded guilty, there is a possibility of him facing jail time. However, because of his age, a report from standard.co.uk notes that he is unlikely to be locked in prison. While pleading guilty, Ecclestone admitted that he had misled the investigators but insisted that he did not know the tax implications regarding the same.
Ecclestone’s lawyer insists her client had no intention of evading tax
While speaking during the same court hearing, Bernie Ecclestone’s lawyer, Clare Montgomery KC, stated that her client just made a huge mistake in the responses he gave to HMRC. After stating the same, she added that the 92-year-old had no intention of evading tax and has instead always been keen to pay the tax that is due.
Montgomery then explained why Ecclestone is currently in no position to face jail time because of his “frail health.” She stated (as quoted by standard.co.uk), “He is now in frail health. The whole process has caused immense stress to him and those who love him“.
Despite the request from Montogomery, the report from standard.co.uk notes that Mr Justice Bryan rejected the application. The judge noted that “there is no real and immediate threat to the life of Mr Ecclestone by reason of the trial process.” As a result, Mr. Justice Bryan is set to sentence Ecclestone later on Thursday, as per the report.
