MPs repeatedly accused him of lying over a settlement with U.S. bank Goldman Sachs, which cost the taxpayer as much as £8 million." (Mail Online)
A whistleblower, Osita Mba disclosed the information regarding Goldman Sachs's not paying the tax:
Goldman Sachs whistleblower threatened with sack
Osita Mba, who disclosed that managers had let off Goldman Sachs with tax penalties, is facing disciplinary procedures.
By Rajeev Syal - guardian.co.uk
A solicitor at HM Revenue & Customs who turned whistleblower to disclose that senior managers had quietly let off Goldman Sachs from paying millions of pounds in tax penalties is facing disciplinary procedures and possible prosecution for speaking out.
Osita Mba has worked within the Revenue for at least four years and claimed to have personal knowledge of the deal that allowed the bank to write off a £10m bill.
He told the National Audit Office and two parliamentary committees the bank's settlement had been agreed with a handshake by Dave Hartnett, the permanent secretary for tax at HMRC.
Mba believed the deal might be illegal and told them he was making the disclosure under whistleblowing legislation. His evidence led to Hartnett being accused of lying to parliament over his role in the Goldman Sachs deal, which he denied. But he admitted his organisation had made a mistake by approving the deal.
Now Revenue & Customs managers have launched an inquiry into Mba's conduct that could lead to his being sacked or face prosecution for disclosing sensitive information.
He has been told not to enter the Revenue's building in Westminster without a personal escort from his line manager and has been summoned to a meeting, according to documents sent to the Commons public accounts committee.
Mba's treatment has angered MPs who say that his disclosures have been of enormous service to Parliament and the public. Margaret Hodge, Labour chair of the committee – which uncovered the deal using Mba's evidence – said: "Whistleblowers play such an important role that the previous government brought in legislation to protect them.
"Mr Mba's evidence has been crucial in uncovering not just specific but systemic problems in HMRC's secretive relationship with big corporations.
"This is harassment and is completely unacceptable."
Stephen Barclay, a Conservative MP on the committee, said it would ask further questions about HMRC's approach to whistleblowers. "We have already seen how whistleblowers from the health world have been stopped from disclosing information by their managers. It appears that a similar obstructive approach may now be being followed by Her Majesty's Revenue & Customs.
"The committee will be making further inquiries to establish the facts to ensure that the will of parliament is being followed," he said.
Hartnett reached an agreement with Goldman a year ago whereby it did not have to pay back about £10m interest on tax it had avoided.
The bank was found to have employed London-based workers in the British Virgin Islands where they did not have to pay tax on bonuses.
Mba, who trained as a barrister in Nigeria and completed his master's degree at Oxford, worked in the personal tax litigation team from February 2007 until November last year.
Read the full story here
Apparently, the taxes that Goldman Sachs avoided paying are much higher than reported. See story here.