Immigrant worker permits in jeopardy after tax scam

Immigration Minister Lianne Dalziel is threatening to cancel special immigrant work privileges as concern mounts over tax evasion in the horticultural industry.

The warning follows the case of Indian immigrant Vishuuvardhan Polishetty, 27, a company director formerly of Te Puke, who was this week jailed for two years and three months on two counts of tax evasion.

Polishetty had set up an orchard contracting company in July and had failed to pay total taxes to the Inland Revenue Department of $335,236.71.



Polishetty arrived in April last year and was granted a visitor permit. When that expired he was granted a special work permit - designed to help industries with severe skill shortages. It allowed him to work as a pruner but only in Marlborough.

He moved to Bay of Plenty where he established a contracting company.

Ms Dalziel said she would consider cancelling immigrant work privileges if widespread scams were found in the horticultural industry, although she was reluctant to do so.

She said the permits helped businesses, many of which complained of staff shortages. But more needed to be done to check the credibility of staff being hired.

She said she would be looking at the work permits of 34 contractors in Western Bay of Plenty under investigation by IRD for suspected tax evasion.

Fruit Growers Federation vice-president Andrew Fenton said growers could do little to protect themselves because of strict privacy laws.

- NZPA