Irregularities in Incentive Applications

What happens if fake documents are prepared in the incentive area?

by Hale Nur AKDENİZ

Fake documents submitted to the Ministry may have serious legal and criminal consequences. In Türkiye, issuing or using false documents covers various crimes, and criminal sanctions are applied according to these crimes. Here are some highlights:

1. Issuing False Documents: In Türkiye, issuing false documents is defined as a crime according to the Turkish Penal Code (TCK). This crime is considered under the heading of “forgery,” and the penalty varies depending on the type of document and the details of the crime. Generally, imprisonment and judicial fines are imposed. For example, in accordance with Article 204 of the TCK, a prison sentence of one to five years and a judicial fine may be imposed for the crime of forgery.

2. Use of False Documents: Submitting a false document to an official institution, such as a ministry, may amount to misleading public officials, which may result in more severe criminal sanctions. Penalties can often be more severe for these types of crimes.

3. Forgery of Official Documents: Since forgery of official documents means misleading public institutions, you may face more severe penalties as part of criminal law. In this case, penalties may vary depending on the nature of the document and the purpose of use.

4. Other Sanctions: Apart from criminal sanctions, persons who issue false documents may have to pay compensation and face additional consequences such as loss of reputation.

Receiving incentives by using forged documents may have serious legal consequences and may result in various sanctions in terms of both criminal law and administrative regulations. According to the legislation in Türkiye, receiving incentives by using forged documents may result in the following consequences:

1. Criminal Sanctions

• Forgery Crime: According to the TCK, preparing and using false documents constitutes the crime of forgery. Such crimes may result in sanctions such as imprisonment and fines. According to Article 204 of the TCK, a prison sentence of one to five years may be imposed for the crime of forgery. Receiving incentives with false documents may make such penalties even more severe.
• Fraud: Receiving incentives using false documents may also constitute the crime of fraud. The penalty for fraud is usually imprisonment and fines, and may become more severe depending on the nature of the crime.

2. Administrative Sanctions

• Cancellation of Incentives: Incentive programs generally have various audit and control mechanisms to verify that incentives are used correctly and legally. If incentives received with false documents are detected, all of these incentives can be withdrawn. Moreover, administrative fines can be imposed on companies or individuals because of the methods used in receiving such incentives.
• Ban From Future Incentives: Receiving incentives based on fraud may result in future incentive applications being rejected and being banned from such programs. This may make it difficult in the long term for companies or individuals to access financial support and incentives.

3. Compensation and Loss of Reputation

• Compensation Payments: Since receiving incentives with false documents may cause damage to the relevant institutions, they may file a lawsuit for compensation. This may create additional financial liabilities.
• Loss of Reputation: Forgery crimes can seriously damage the reputation of individuals or companies. This may lead to loss of trust in relationships and difficulty in the ability to do business.

Various incentives in the lift industry can be provided by both the government and the private sector. These aim to increase innovations, safety and productivity in the industry. Incentives in the lift industry of Türkiye can be provided in the following areas in general:

1. Investment Incentives

• KOSGEB Supports: KOSGEB offers various supports to small and medium-sized businesses (SMEs). Companies in the lift industry can benefit from KOSGEB’s entrepreneurship support, R&D projects and incentives to increase production capacity.
• Incentives From the Ministry of Industry and Technology: The Ministry of Industry and Technology offers incentive programs to support industrial investments. These incentives may include tax reductions, investment land allocation and low-interest loans.

2. R&D and Innovation Incentives

• TUBITAK Supports: TUBITAK provides support to technology and innovative projects. In the lift industry, companies that develop R&D projects can benefit from TUBITAK’s support and grant programs.
• Technology Development Zones: Companies located in technology development zones (TECHNO-CITY) can benefit from tax advantages, incentives and various support.

3. Energy Efficiency and Environment Incentives

• Support From the Ministry of Energy and Natural Resources: Support is provided for energy efficiency projects. Incentives and grant support can be received for innovative systems or technologies that increase energy efficiency in lifts.
• Incentives From the Ministry of Environment and Urbanization: Various supports can be provided to encourage environmentally friendly and sustainable technologies. this may include promoting environmentally-friendly lift systems.

4. Market Research and Export Incentives

• Export Support: Turkish Exporters Assembly (TİM) and other relevant institutions provide support for market research and export activities abroad. Lift industry exporters can gain a competitive advantage in international markets by taking advantage of these supports.
• Eximbank Credits: Türk Eximbank can offer low-interest credits and other financial support to exporters.

5. Training and Certification Programs

• Training Incentives: Several incentives and support programs can be found for the training and certification processes of professionals in the lift industry. This supports enhancing the level of knowledge and skills in the industry.

6. Other Supports

• Tax Deductions: Tax deductions or exemptions for new investments or technology development projects can be provided.
• Public Procurement: Incentives or priorities may be provided for domestic producers in procurements made by public institutions.

It is important to get detailed information, learn the application terms from the relevant institutions and ministries and follow the process. In addition, the current status and scope of incentives may change over time, so it will be useful to constantly obtain updated information or keep in touch with us.

The share and export figures of the lift industry in Türkiye are important indicators of the economic size and international trade in the sector. In Türkiye, the lift industry is important for both the local market and exports. Here is some current data and information on this industry:

1. Share of the Lift Industry in Türkiye

• Market Size: The lift industry in Türkiye has an important place, especially in construction projects, shopping malls, office buildings and residential projects in big cities. The industry has a market size of millions of dollars every year.
• The Place of the Industry in the Economy: The lift industry makes a significant economic contribution by being a part of the construction and manufacturing sector. It offers employment opportunities in various areas such as engineering, design, production, installment and maintenance.

2. Export Figures

The lift industry in Türkiye has a strong presence in international markets. Türkiye is an important manufacturing country in lift and escalator exports.

• Export Volumes: Türkiye’s lift and escalator exports vary from year to year but generally reach a value of hundreds of millions of dollars. As of 2023, Türkiye’s lift and escalator exports reached approximately US$300 million. However, this figure may change on an annual basis and should be updated according to industrial reports.
• Main Export Markets: The largest markets for Türkiye’s lift exports include European Union countries, the Middle East and North African countries. In particular, countries such as Germany, England, Russia and Saudi Arabia are important export markets for the Turkish lift industry.

3. Sectoral Developments and Trends

• Technological Innovations: Türkiye’s lift industry invests in technology and innovations, develops energy-efficient and smart lift systems and competes in the international market with these technologies.
• Growth in the Construction Industry: The growth of the construction industry in Türkiye also contributes to the growth of the lift industry. The demand for large-scale projects, shopping malls, residential projects and public buildings increases the business volume in the sector.

After receiving education in SME consultancy at Başkent University and State Support at Galatasaray University, Hale Nur Akdeniz provided services in the field of TPE and KOSGEB in the field of external state incentives for Truva Group and Termal Seramik companies. With her own company, True Point, which she founded in 2019, she provides consultancy services to approximately 70 companies, primarily in SGK incentive consultancy, export incentive consultancy, investment incentive consultancy, KOSGEB support consultancy, global supply chain consultancy, R&D design center establishment and sector-based innovation consultancy.