Revealed: How Australia's biggest ever tax fraud scam went down
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Get ready for a wild ride, folks, because we're about to spill the beans on Australia's biggest tax fraud scandal ever!
This story isn't just about some fancy financial manoeuvres and sneaky tax dodging; it's a gripping tale that kicked off with a meeting in a downtown Sydney strip club and ended with a mind-blowing exposé of the conspirators, hidden bank accounts, and shady transactions.
Thanks to an investigation done by Four Corners, the truth behind this massive scam has finally come to light. They sifted through a whopping 28,000 pages of documents and listened to 70 hours of intercepted phone calls, videos, and audio recordings. It was like cracking open Pandora's box of criminal investigations!
So, let's step back in time and start where it all began.
The scheme, known as the Plutus Payroll scam, started when a band of conspirators devised an enthralling plan to grab a chunk of tax money.
They obtained funds from a legitimate client base that had outsourced their payroll duties to their cleverly-named company, Plutus Payroll. This group of entrepreneurial mavericks consisted of a blend of seemingly ordinary characters. Among them, there were:
In reality, the money was syphoned off to second-tier dummy companies they had created, then funnelled a fraction to the ATO, pocketing the rest for themselves covertly.
But as with any scam of this scale, eventually, the ATO began to notice the gigantic discrepancy of lost funds, and like a house of cards, it all began to crumble.
As it turns out, one of the conspirators, Adam Cranston, had a rather intriguing connection—his father, Michael Cranston, was then a deputy commissioner at the ATO. The scandal portrayed Michael in a damning light, stirring quite the controversy, although he was later found not guilty of any wrongdoing.
The unravelling of this grand scheme involved confrontations in the suburbs of Sydney, the untimely death of a key conspirator, and a labyrinth of shady business transactions.
Adam's phone conversations, secretly recorded by the AFP, provided a chilling insight into the audacious scheme. He proudly referred to Plutus as a 'money-making machine' and openly admitted that the ATO wouldn't know it's a Ponzi scheme 'until well down the track'.
Peter seemed to have gotten wind that things were all about to fall apart, having sent Adam a frantic text message while in Los Angeles, USA, that read: ‘This is getting out of control. You, me (and) J need to sort our s*** out together.’
‘Otherwise, we are all f***ed … I’ve heard from different sources the whole business is about to be rolled.’
He later was found dead in an apparent suicide by local officials.
Meanwhile, siblings Adam and Lauren Cranston, along with the cohort's lawyer Dev Menon, were said to be concocting a plan to lay the blame squarely on the deceased Peter Larcombe, clearly banking on the adage 'Dead men tell no tales.' However, little did they know that their plan was being recorded by AFP's planted devices.
In April 2017, the axe finally fell, as Plutus Payroll's accounts were garnished by the ATO. By then, Adam Cranston, in desperation, even reached out to his father for help to sort out this financial mess. But, as they say, the bell had tolled, and the reckoning was nigh.
On May 17, 2017, police descended upon the homes of the key conspirators, arresting them and seizing an enormous cache of assets—from cash, properties, vehicles, and even vintage wines! It was a humbling downfall for a group of individuals who'd believed they'd beat the system…until they didn't.
Following a year-long trial in 2022, several of the co-conspirators were found guilty of this massive tax fraud scheme.
Lauren Cranston, sentenced to eight years imprisonment in March 2023, had acted out of loyalty to her brother, gaining a relatively small sum of $181,000. Adam Cranston, Dev Menon, and Jason Onley are awaiting their sentences.
Adam's father, Michael, faced a setback in his once illustrious career when phone calls between him and his son were recorded. In these calls, Adam recounted a partially true version of his own difficulties.
While Michael was ultimately acquitted of two charges of abusing his public office for personal gain. He ultimately made the decision to resign from his position.
Justice has finally caught up with the folks behind the Plutus Payroll scam. Their downfall is a strong reminder that, at the end of the day, crime just doesn't pay. So, what do you think about this thrilling story, members? Don't hesitate to share your thoughts in the comments below!
This story isn't just about some fancy financial manoeuvres and sneaky tax dodging; it's a gripping tale that kicked off with a meeting in a downtown Sydney strip club and ended with a mind-blowing exposé of the conspirators, hidden bank accounts, and shady transactions.
Thanks to an investigation done by Four Corners, the truth behind this massive scam has finally come to light. They sifted through a whopping 28,000 pages of documents and listened to 70 hours of intercepted phone calls, videos, and audio recordings. It was like cracking open Pandora's box of criminal investigations!
So, let's step back in time and start where it all began.
A barrage of secret explosive evidence that led to the uncovering of the biggest tax fraud in Australia's history has been revealed. Credit: Pexels/RDNE Stock project.
The scheme, known as the Plutus Payroll scam, started when a band of conspirators devised an enthralling plan to grab a chunk of tax money.
They obtained funds from a legitimate client base that had outsourced their payroll duties to their cleverly-named company, Plutus Payroll. This group of entrepreneurial mavericks consisted of a blend of seemingly ordinary characters. Among them, there were:
- Adam Cranston, a corporate player with experience in salvaging struggling businesses;
- Peter Larcombe, a fund manager who was once believed to have had ties to an outlaw motorcycle gang;
- Jason Onley, a former professional snowboarder;
- Simon Anquetil, a tech whiz;
- and Josh Kitson, a recruitment industry expert who knew all the tricks of the trade.
In reality, the money was syphoned off to second-tier dummy companies they had created, then funnelled a fraction to the ATO, pocketing the rest for themselves covertly.
But as with any scam of this scale, eventually, the ATO began to notice the gigantic discrepancy of lost funds, and like a house of cards, it all began to crumble.
As it turns out, one of the conspirators, Adam Cranston, had a rather intriguing connection—his father, Michael Cranston, was then a deputy commissioner at the ATO. The scandal portrayed Michael in a damning light, stirring quite the controversy, although he was later found not guilty of any wrongdoing.
The unravelling of this grand scheme involved confrontations in the suburbs of Sydney, the untimely death of a key conspirator, and a labyrinth of shady business transactions.
Adam's phone conversations, secretly recorded by the AFP, provided a chilling insight into the audacious scheme. He proudly referred to Plutus as a 'money-making machine' and openly admitted that the ATO wouldn't know it's a Ponzi scheme 'until well down the track'.
Peter seemed to have gotten wind that things were all about to fall apart, having sent Adam a frantic text message while in Los Angeles, USA, that read: ‘This is getting out of control. You, me (and) J need to sort our s*** out together.’
‘Otherwise, we are all f***ed … I’ve heard from different sources the whole business is about to be rolled.’
He later was found dead in an apparent suicide by local officials.
Meanwhile, siblings Adam and Lauren Cranston, along with the cohort's lawyer Dev Menon, were said to be concocting a plan to lay the blame squarely on the deceased Peter Larcombe, clearly banking on the adage 'Dead men tell no tales.' However, little did they know that their plan was being recorded by AFP's planted devices.
In April 2017, the axe finally fell, as Plutus Payroll's accounts were garnished by the ATO. By then, Adam Cranston, in desperation, even reached out to his father for help to sort out this financial mess. But, as they say, the bell had tolled, and the reckoning was nigh.
On May 17, 2017, police descended upon the homes of the key conspirators, arresting them and seizing an enormous cache of assets—from cash, properties, vehicles, and even vintage wines! It was a humbling downfall for a group of individuals who'd believed they'd beat the system…until they didn't.
Following a year-long trial in 2022, several of the co-conspirators were found guilty of this massive tax fraud scheme.
Lauren Cranston, sentenced to eight years imprisonment in March 2023, had acted out of loyalty to her brother, gaining a relatively small sum of $181,000. Adam Cranston, Dev Menon, and Jason Onley are awaiting their sentences.
Adam's father, Michael, faced a setback in his once illustrious career when phone calls between him and his son were recorded. In these calls, Adam recounted a partially true version of his own difficulties.
While Michael was ultimately acquitted of two charges of abusing his public office for personal gain. He ultimately made the decision to resign from his position.
Justice has finally caught up with the folks behind the Plutus Payroll scam. Their downfall is a strong reminder that, at the end of the day, crime just doesn't pay. So, what do you think about this thrilling story, members? Don't hesitate to share your thoughts in the comments below!
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