By Mark Vester
Kostya Tszyu became an unwitting pawn in what the Australian media is calling a case of major tax fraud and money laundering. The focus is on an offshore trust structure allegedly used by promoter Glenn Wheatley to create an illegitimate $400,000 tax deduction on the proceeds of Tszyu's 2003 bout against Jesse James Leija.
After the fight date of January 19, 2003, Mr Wheatley and accomplice Paul Gregory allegedly used Swiss-based accounting firm Strachans SA to design a way to save on tax.
"Officers of the Australian Tax Office and the Australian Crime Commission as part of Operation Wickenby met me and advised me I was not a person of interest," Tszyu told The Australian. "All I know is that my name, and Jesse James Leija's, was brought up after we fought at the Telstra Dome in a co-promotion with Vlad Warton and Glenn Wheatley. My understanding was that there was a problem in Jesse James being paid for the fight."
The Australian Crime Commission, the ATO and the Australian Federal Police are also investigating Strachans for allegedly invoicing Wheatley's company for non-existent services that total $700,000.
