Asheer Singh, 37, appeared in the Dunedin District Court yesterday afternoon after earlier admitting 15 charges laid by the Inland Revenue Department (IRD) under the Tax Administration Act.
Judge David Robinson declined an application for a discharge without conviction and sentenced him to five months’ home detention and 200 hours’ community work.
The crux of the matter, he said, was the unknown impact a conviction would have on Singh’s ability to hold or maintain a medical practising certificate.
The court heard Singh would now be referred to the Medical Council of New Zealand and would be stood down from his role at Te Kaika.
"It’s sustained offending and I’m left with the inescapable inference that, but for the inquiry by IRD when it occurred, this is offending that would have likely continued," he said.
The court heard it was not Singh’s first scrape with tax authorities.
He had previously been subject to shortfall penalties because of "gross-carelessness".
"You were clearly on notice about your tax obligations and the consequences of not complying with those obligations," Judge Robinson said.
Counsel David Weaver accepted there was some sophistication to his client’s crimes, using accounting software to misrepresent his true income.
Singh accepted his crimes were driven by "self-entitlement and greed".
His company Dr A. Singh Ltd (DASL), incorporated in 2011, was randomly selected for a compliance review in February 2021, the court heard.
The doctor registered a profit of only $23,000 in the 2020 tax year despite introducing "large sums of funds" to his company and making property purchases of $1.4 million.
Three weeks after the IRD aired its concerns, Singh provided a statement detailing his fraud between 2019 and 2021.
"[He] made a full and frank admission and acknowledged the criminality of his behaviour," counsel David Weaver said.
Shortly afterwards, Singh paid $118,948 to cover his tax liabilities.
"He simply asked for mercy from the commissioner [of the IRD]," Mr Weaver said.
But the department forged on with its investigation and sought information from the Highlanders, NZR, Otakou Health Ltd and Medical Assurance Society New Zealand, as well as various banks.
It revealed significant undeclared income from the Super Rugby franchise and Otago Rugby for his role as team doctor, and from Te Kaika.
A review of one of three bank accounts showed the defendant had received nine payments from the NZR totalling $119,408 which were not returned as sales in the GST or income filings for his company.
"The defendant, by virtue of large amounts of funds introduced (some of which was actually sales), has been able to take large amounts of drawings that do not attract income tax," a summary concluded.
Singh declined to attend a voluntary interview.
The shortfall for GST and income tax was calculated to be $94,523, while the discrepancies in Working for Families tax credits and a student loan came to $42,921.
Singh had repaid the full amount of $137,444 but may yet be liable for shortfall penalties.
Mr Weaver told the court Singh had apologised to his employers and the Highlanders playing group "for the hurt and embarrassment he’s caused to them".
New Zealand Rugby (NZR) had launched an investigation as a result of the offences, Mr Weaver said.
Neither Highlanders chief executive Roger Clark nor Te Kaika boss Matt Matahaere, both of whom attended the sentencing, would comment on the case.
