PRETORIA – The latest from the Gupta leaks reveals how the Canadian government bankrolled the purchase of their private jet and how it was then transferred through companies to avoid paying tariffs and taxes on it.
Scorpio and amaBhungane reports on Thursday that state-owned lending institution Export Development Canada (EDC) helped fund the purchase of a $51-million Bombardier Business Jet.
The Gupta leaks reveal that in December 2014, EDC agreed to fund 80% of the Gupta’s purchase of a R51 million jet from Bombardier, the now famous ZS-Oak Aircraft.
After buying Zs-Oak, the Guptas Westdawn Investment company transferred ownership of the jet to a shelve company called Stoneriver.
Stoneriver then entered into an agreement with EDC and Oakbay and leased the aircraft back to Westdawn.
An Ireland-based company then took over Stoneriver which allowed Westdawn to write-off the jet lease agreement as a business expense, an effective tax break.
(Edited by Winnie Theletsane)