HGP Nightly News – The High Court has wiped out a $479.7 million tax bill tied to a Ferrari 488 and a $320 million claim linked to a Rolls-Royce Cullinan, both imposed by the Guyana Revenue Authority against Hana Mohamed and Bibi Mohamed.
Justice Gino Persaud handed down the ruling on Thursday, finding that the GRA’s enforcement actions and some of its long-standing remigrant concession conditions were unreasonable, unlawful, and not backed by the Customs Act.
The case stemmed from the importation of the two luxury vehicles under the remigrant concession.
The court set aside the $479.7 million assessment against Hana Mohamed in relation to the Ferrari and the $320 million assessment against Bibi Mohamed over the Rolls-Royce.
The legal challenge followed an attempt by the GRA and police last year to seize the vehicles from the residence of Opposition Leader Azruddin Mohamed.
In Hana Mohamed’s case, the court found that the Commissioner General acted unreasonably by failing to properly consider her explanations about temporary absences from Guyana before imposing the taxes.
That matter has been sent back to the Commissioner General for reconsideration after a formal hearing.
In Bibi Mohamed’s case, the court granted a permanent injunction preventing the GRA from seizing or forfeiting the Rolls-Royce. The revenue authority was also ordered to pay $750,000 in legal costs by August 13.
Justice Persaud also struck down two conditions attached to the remigrant concession.
One required owners to use concession vehicles as their primary mode of transportation. The other required them to report to the GRA every six months with the vehicle for inspection.
The judge ruled that both conditions went beyond the authority given under the Customs Act.
Outside court, attorney Siand Dhurjon, who appeared with Damien DaSilva for the Mohameds, called the ruling a victory for judicial independence.
He said the GRA had failed to fairly consider Hana Mohamed’s explanations before moving ahead with the tax demands.
Hana Mohamed welcomed the decision, saying she felt vindicated. She claimed the assessments formed part of political persecution against her family and Opposition Leader Azruddin Mohamed.
She also questioned why the GRA was pursuing her family while, according to her, similar matters involving government officials were not being investigated.
The GRA was represented by a legal team led by Senior Counsel Robin Stoby and Anand Ramlogan, along with attorney Sanjeev Datadin and others.
