Page 1716 - Week 06 - Tuesday, 30 April 1991

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Contract to some video titles, however rights ended when company (Joyfrey) went into liquidation. Masters are to be returned to the United States.

In direct contradiction of this statement, Gajic was, in fact, effecting a deception by having the title to the major asset of the company converted to another company, Sienna Pty Ltd. Upon the successful completion of this corporate sham, the bill for Simons and Baffsky's services in representing Gajic and Sienna Pty Ltd was sent to Harold Schekeloff, who then paid the bill for Gajic's legal costs.

As I mentioned earlier, many criminals seek to improve their public image. Such was the case with Alexander Gajic when he contacted a professional public relations firm in Melbourne to arrange, on behalf of a Gajic company, Self Storage Company Pty Ltd, to sponsor the annual Channel 10 television nerve deafness appeal in Victoria. In a letter to Gajic on 26 March 1986, the public relations firm stated:

I believe that your association with such an organisation as the 10 network would create and achieve positive television coverage and lend additional credibility and public awareness to your own venture.

As it turned out, such sponsorship did not proceed.

The effect of the liquidation of Joyfrey Nominees Pty Ltd was to evade $47,000 tax and to avoid the payment to creditors of tens of thousands of dollars. Despite the attention that Mr Gajic has brought upon himself and his companies and associations, no criminal charges have been laid for these illegal activities. These circumstances would appear to warrant the involvement of the Deputy Commissioner of Taxation, and any failure by his department to investigate would be only a further example of a failure by authorities to enforce existing laws.

Even when law enforcement agencies are involved in screening people, abuses of the system can take place, as was evidenced last week when the Australian Federal Police report indicated that the business migration scheme, though being set up with the best of intentions, is itself being abused by corrupt influences. It is a poor commentary on law and order in Australia when we hear the recent statement by Tony Hartnell of the Australian Stock Exchange admitting that few corporate criminals are brought to justice.

The statement and final report by the Costigan royal commission, recommending that any business which appears to be racketeer-influenced should be dealt a severe blow, appears to have been sadly overlooked by those developing law enforcement strategies for Australia into the twenty-first century. This area has been addressed in the US with the


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