Shell companies have acquired the most expensive concessions
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- “In major concessions, more than 50 percent are won from shell companies. Maybe they are legit and it is their right not to expose their shareholders, however they shouldn’t be allowed to win any public tenders,” said director of Open Data Albania Arianita Brahaj.
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TIRANA, March 26- Media outlet Exit.al has written a report on the three of the most expensive concessions winners being shell companies with unknown owners. Two of these concessions are in the medical field for the hemodialysis and medical laboratories, and one is given for the Tirana incinerator.
These shell companies are registered abroad, profiting from the law taxation imposed on corporations. One of these fiscal paradises is considered to be The Netherlands. Even though these companies might not have any activities conducted within that country, they can still register an address and file their activities through paperwork. The owners also profit from the Dutch law for privacy by keeping their identities hidden, avoiding thus any issues linked to conflicts of interest, corruption, and fiscal evasion.
“In major concessions, more than 50 percent are won from shell companies. Maybe they are legit and it is their right not to expose their shareholders, however they shouldn’t be allowed to win any public tenders,” said director of Open Data Albania Arianita Brahaj.
Hemodialysis concession
In October 2015 the Ministry of Health declared the company Dia Evita Ltd as the winner of the 10-year hemodialysis concession with a value of 63.5 million euros. Dia Evita Ltd is created under the co-ownership of the American Hospital with 15 percent shares and Evita Ltd with 85 percent shares. The company Evita is estimated as small company with no experience in such medical services.
In November 2016 72.5 percent of the company was sold at the value of 160 thousand euros to a shell company named Arimo B.V. The rest of 27.5 percent of the shares were bought by Ertel Kercuku. Arimo B.V is registered in The Netherlands, because as mentioned above it allows the registering a facade administrator and office with hidden ownership.
The office is registered at Paasheuvelweg 16 in Amsterdam located on the Crowe Horwath Foederer building, an accounting company which is specialized in fiscal services, which can manage exposure and tax risk. Thus, 72.5 percent of the hemodialysis concessions are given to a company whose owners are unknown.
Medical laboratories concession
In April 2017 the government declared as winner of the medical laboratories concession for all the country’s hospitals to a joint application among companies Labopharma Ltd with 41.7 percent, Exalab France with 25 percent, and AB Laboratory Solutions B.V with 33.3 percent. The latter is registered again in The Netherlands and is being represented by Labopharma Ltd. This company is also a shell company specialized in providing accounting services.
This 10-years concession costs the government’s budget 7 million euros a year, expected to be soon paid as stated in the 2019 draft budget. Even though the contract signed between the concessionary company and the Ministry of Health is only for two years, it is worthy to note that this contract hasn’t been made public yet.
The Tirana incinerator concession
In December 2016 the government decided to build an incinerator in the territory of Tirana for burning garbage and waste. This incinerator would work under the public-private partnership scheme, costing 140 million euros and lasting for 30 years. The company Integrated Energy B.V was the only company to provide an unrequested proposal to the Ministry of Environment in May 2016. The company hadn’t been registered in The Netherlands yet by the time of its application.
After considering the proposal the government decided to start the tendering procedures and granted the company a bonus of eight points comparing to the rest of applying companies. The executive board of this company is comprised by Thomas Walter Hansmann, director of the Paul Wurth India Private Ltd, and Hans Wallage who represents ANT Management, a company specialized in building useful structures for fiscal evasion.
Other board member are Theo Spijkerman and Arnaud van der Werf, both employees of SGG Group, a company which offer financial services globally in the form of trust funds, which are usually used to hide fiscal evasion. SGG Group has been convicted at the UK for financial fraud. It seems that this is another shell company, used as a cover for getting another costly concession, quietly hiding corruption, conflict of interest or tax payment.
