Police investigation probes landlord's taxes, casino activities
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Part Three of CBC Edmonton's new series — Behind the blue line: Investigating Abdullah Shah — examines the Edmonton Police Service and the Canada Revenue Agency's joint investigation into money laundering and tax evasion. For two years, investigators with Project Fisk probed the empire built by notorious inner-city landlord Abdullah Shah. No charges were laid against Shah or his associates connected to Home Placement Systems, a company owned and controlled by Shah. Det. Dan Behiels, who headed the investigation, leaked the Project. Fisks investigative file to CBC News and is now suspended with pay and facing disciplinary charges.
Project Fisk documents detail how Behiels and investigators believed Shah and his associates evaded paying taxes and laundered money. The company evades taxes on $3.4 million on sales of property between 2013 and 2017. Matthew McGuire, a Toronto-based forensic accountant and recognized expert on money laundering, reviewed the documents. The Canada Revenue Agency would not comment on the investigation. It is not known if the agency has laid any charges against Shah or if charges were pending following Project Fisks.
Shah and his HPS associates allegedly avoided paying taxes on their real estate. They owned more than $24 million in Edmonton. Many of the properties were owned by numbered companies with mortgages obtained from private lenders at high interest rates. In one example, a numbered company bought a multi-unit building in the Parkdale neighbourhood of Edmonton for $153,750 in January 2014. It was damaged by fire and boarded up in September 2016. The building was deemed unfit for human habitation in October 2017. A different numbered firm bought it for $375,000 in February 2017 despite the extensive fire damage and taxes owed.
Shah was on statutory release for a conviction on mortgage fraud and possession of property obtained by crime. He was spotted at a casino 18 times between June and August 2009. Alberta Liquor Gaming and Cannabis reviewed his casino activity from June through November 2018. It found he had placed $570,000 into casinos that reported to AGLC over that six-month period. Shah also dropped $238,00 at River Cree Resort and Casino between April and July 2018, according to the documents. In June 2018 Shah went to Casino Edmonton with a female business associate. She passed him $2,900 in chips.
Police investigation probes landlord's taxes, casino activities. Part Four of the investigation will be aired tomorrow.
