Monday, 27 December 2010

Fisheries firms bribing Russians

Monday, Dec. 27, 2010

Kyodo News

Four Japanese fishery companies paid about ¥500 million in bribes to Russian officials for three years so they could fish in Russia's exclusive economic zone more than allowed under a bilateral agreement, sources familiar with the matter said Sunday.

Tax authorities discovered the payments from 2006 to 2009 were made through deceptive accounting practices and have concluded the acts constitute income concealment. The companies have thus been ordered to pay about ¥200 million in back taxes, including penalties.

The four firms have told tax authorities they gave money to the Russians in an attempt to win silence from Russian authorities for fish catches exceeding the designated quota, the sources said.

The four companies are Wakkanai Kaiyo in Wakkanai, Hokkaido, Kanai Gyogyo in Kushiro, Hokkaido, Kaiyo Gyogyo in Hachinohe, Aomori Prefecture, and Sato Gyogyo in Shiogama, Miyagi Prefecture.

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