Paul Burke smiles as he leaves the court after being granted bail at the Resident Magistrate's Court Corporate Civil Division on Sutton Street in Kingston, yesterday. - Rudolph Brown/Chief Photographer

Former Deputy general secretary of the People's National Party (PNP), Paul Burke, yesterday dismissed claims that he was being targeted for his political allegiance after he was brought before the tax court for his company's non-payment of taxes to the Government.

"No, I don't think it is any smear campaign against me," he told The Gleaner yesterday when quizzed.

Over $10m owed

Burke was arrested and brought before the Sutton Street tax court on charges that his company, Ultra Protection Limited, owes the state more than $10 million in taxes.

It is alleged that, over a period of time, taxes - including GCT, education tax and PAYE - were collected but were not paid over to the Revenue Department.

Burke was granted bail in the sum of $100,000 and ordered to return to court on March 25 and 26 for hearing.

Burke, in responding to the charges, said his security company had been experiencing some financial problems over the last three years, due to the non-payment of outstanding monies by clients, as well as other issues.

"The company's viability is not that strong. We had a lot of tragedies for the last three years," he said. "We are owed large amounts; the Government owes us substantial amounts. One client owes us around $5 million and a government institution, which I won't name, has $3.6 million."

Moves to settle

Burke said his company had been in dialogue with the Tax Administration Services Department to settle the company's outstanding debts to the Government.

Burke's company was one of two brought before the court yesterday, as Linda's Flower Fair Limited was also slapped with income tax-related charges. When The Gleaner contacted the company yesterday, manager Lance Lawman was said to be out of office.

Merris Haughton, director of public relations at the Tax Department, said the arrests of six persons on Tuesday and yesterday were part of the department's drive to improve tax collection.