Law Society v Kangatharan: Disciplinary Action for Tax Fraud Involving Dishonesty
The Law Society of Singapore applied to the Court of Three Judges for disciplinary action against Kangatharan s/o Ramoo Kandavellu, a lawyer, following his conviction under s 37J(2) of the Income Tax Act for providing false information to the Comptroller of Income Tax to support a claim under the Productivity and Innovation Credit scheme. The court found that although the offense itself did not require proof of fraud or dishonesty, the facts surrounding the commission of the offense demonstrated dishonesty. The court ordered Kangatharan to be struck off the roll of advocates and solicitors.
1. Case Overview
1.1 Court
Court of Three Judges1.2 Outcome
Respondent struck off the roll of advocates and solicitors.
1.3 Case Type
Regulatory
1.4 Judgment Type
Ex Tempore Judgment
1.5 Jurisdiction
Singapore
1.6 Description
The Law Society sought disciplinary action against Kangatharan for providing false information to the Comptroller of Income Tax. The court found Kangatharan acted dishonestly and ordered him struck off the roll.
1.7 Decision Date
2. Parties and Outcomes
| Party Name | Role | Type | Outcome | Outcome Type | Counsels |
|---|---|---|---|---|---|
| The Law Society of Singapore | Applicant | Statutory Board | Application Granted | Won | |
| Kangatharan s/o Ramoo Kandavellu | Respondent | Individual | Struck off the roll | Lost |
3. Judges
| Judge Name | Title | Delivered Judgment |
|---|---|---|
| Sundaresh Menon | Chief Justice | Yes |
| Andrew Phang Boon Leong | Judge of Appeal | No |
| Steven Chong | Judge of Appeal | No |
4. Counsels
| Counsel Name | Organization |
|---|---|
| Colin Liew | Essex Court Chambers Duxton (Singapore Group Practice) |
4. Facts
- Kangatharan was convicted under s 37J(2) of the Income Tax Act for providing false information to the Comptroller of Income Tax.
- Kangatharan, along with a PIC promoter, was involved in a scam to defraud the Government through an abuse of the PIC Scheme.
- Kangatharan was aware that he was not eligible for the PIC scheme but made false declarations in a PIC cash payout application form.
- Kangatharan signed a false invoice stating that items had been purchased, even though he was aware that he had neither purchased nor paid for them.
- Kangatharan made CPF contributions to his sister and son, even though they were not KC’s employees, to fulfill the conditions for the PIC claim.
- Kangatharan agreed to pay Mr Chandran 50% of the amount that he would receive from the IRAS if his PIC claim was successful.
- Kangatharan made a claim for a PIC cash payout of $9,606 and a PIC bonus of $15,000.
5. Formal Citations
- Law Society of Singapore v Kangatharan s/o Ramoo Kandavellu, Originating Summons No 5 of 2018, [2018] SGHC 265
6. Timeline
| Date | Event |
|---|---|
| Kangatharan submitted a false PIC cash payout application form. | |
| Statement of Facts dated. | |
| Kangatharan pleaded guilty to a charge under s 37(2) of the ITA. | |
| Judgment delivered. |
7. Legal Issues
- Jurisdictional threshold for direct application to Court of Three Judges
- Outcome: The court held that it had jurisdiction to hear and decide the application because the facts surrounding the commission of the offence disclosed dishonesty.
- Category: Jurisdictional
- Appropriate sanction for providing false information to the Comptroller of Income Tax
- Outcome: The court held that the appropriate sanction was to strike the respondent off the roll of advocates and solicitors.
- Category: Substantive
8. Remedies Sought
- Disciplinary action against the respondent
- Striking off from the roll of advocates and solicitors
9. Cause of Actions
- Breach of Legal Profession Act
- Providing false information to the Comptroller of Income Tax
10. Practice Areas
- Professional Responsibility
- Regulatory Law
11. Industries
- Legal
12. Cited Cases
| Case Name | Court | Affirmed | Citation | Jurisdiction | Significance |
|---|---|---|---|---|---|
| Deepak Sharma v Law Society of Singapore | High Court | Yes | [2016] 4 SLR 192 | Singapore | Cited regarding the typical disciplinary process. |
| Wee Soon Kim Anthony v Law Society of Singapore | High Court | Yes | [1988] 1 SLR(R) 455 | Singapore | Cited regarding the principle that complaints against advocates and solicitors should first be adjudged by their peers. |
| Law Society of Singapore v Nathan Edmund | High Court | Yes | [1998] 2 SLR(R) 905 | Singapore | Cited regarding s 94A(1) of the LPA reflecting an exception to the generally applicable approach. |
| Farah v Director General of the Department of Finance and Services | Appeal Panel of the NSW Civil and Administrative Tribunal | Yes | [2014] NSWCATAP 23 | New South Wales | Cited regarding the narrow construction of s 94A(1). |
| Fong Chee Keong v Professional Engineering Board, Singapore | High Court | Yes | [2016] 3 SLR 221 | Singapore | Cited in support of a broader interpretation of s 94A(1). |
| Pollard v Commonwealth Director of Public Prosecution and another | Common Law Division of the NSW Supreme Court | Yes | (1992) 28 NSWLR 659 | New South Wales | Cited in support of a broader interpretation of s 94A(1). |
| Law Society of Singapore v Chia Choon Yang | High Court | Yes | [2018] SGHC 174 | Singapore | Cited regarding the typical situations where a striking off order would ordinarily be warranted. |
13. Applicable Rules
| Rule Name |
|---|
| No applicable rules |
14. Applicable Statutes
| Statute Name | Jurisdiction |
|---|---|
| Legal Profession Act (Cap 161, 2009 Rev Ed) | Singapore |
| s 94A(1) Legal Profession Act (Cap 161, 2009 Rev Ed) | Singapore |
| s 98(1)(a) Legal Profession Act (Cap 161, 2009 Rev Ed) | Singapore |
| s 83(1) Legal Profession Act (Cap 161, 2009 Rev Ed) | Singapore |
| s 83(2)(a) Legal Profession Act | Singapore |
| Income Tax Act (Cap 68, 2012 Rev Ed) | Singapore |
| s 37J(2) Income Tax Act (Cap 68, 2012 Rev Ed) | Singapore |
15. Key Terms and Keywords
15.1 Key Terms
- Legal Profession Act
- Income Tax Act
- Productivity and Innovation Credit Scheme
- PIC Scheme
- False information
- Dishonesty
- Strike off
- Statement of Facts
- Comptroller of Income Tax
- Law Society of Singapore
15.2 Keywords
- Legal Profession
- Disciplinary procedures
- Direct application to Court of Three Judges
- Fraud
- Dishonesty
- Income Tax Act
- Productivity and Innovation Credit
17. Areas of Law
| Area Name | Relevance Score |
|---|---|
| Legal Profession Act | 95 |
| Disciplinary Proceedings | 80 |
| Criminal Law | 60 |
| Income taxation | 50 |
| Tax Offences | 50 |
| Criminal Procedure | 40 |
16. Subjects
- Legal ethics
- Professional misconduct
- Tax fraud
- Disciplinary proceedings