Allcock implicated in Polly Peck scandal
A leading tax investigator claims the Polly Peck investigation was based on misinterpreted information gleaned by maverick Inland Revenue inspector Michael Allcock from sources in the Stock Exchange’s surveillance unit.
Levy Gee tax investigations specialist John Gwyer said the Revenue threatened to launch ‘the biggest investigations team ever’ unless tax information about Polly Peck boss Asil Nadir was supplied.
Gwyer, then with Coopers & Lybrand, wrote to Revenue Board chairman Sir Anthony Battishill complaining about Allcock’s tactics and asking for him to be taken off the case. The letter, signed by managing partner Peter Allen, was sent 18 months before Allcock – jailed last week for five years for corruption – was suspended.
Gwyer said: ‘Allcock didn’t understand most of the information from the Exchange. He had the wrong end of the stick with regard to Nadir by assuming that he was using other entities to buy and sell Polly Peck shares.
‘He was wrong. There’s no evidence of that.’
Allcock’s information was passed to the Serious Fraud Office. Gwyer alleged: ‘It’s quite apparent that the Revenue and SFO abused the due process of law to launch an investigation.’
The case is a prime example of Allcock’s unregulated activity and has led to calls for greater checks to be placed on Revenue inspectors.
See analysis, page 6.
