Owner Of Roofing Company Sentenced To One Year In Prison For Filing False Income Tax Returns

TRENTON, N.J. - The owner of Kenal Enterprises LLC was sentenced today to one year and one day in prison for filing false income tax returns for several years, U.S. Attorney Paul J. Fishman, District of New Jersey, and Assistant Attorney General Kathryn Keneally of the U.S. Department of Justice, announced.

Kenneth Morton of Pitman, N.J., owner of Kenal (d/b/a) Ken Morton Roofing and Siding, a residential roofing company located in Pitman, previously pleaded guilty before U.S. District Judge Peter G. Sheridan to an information charging him with filing false income tax returns for tax years 2007 through 2009. Judge Sheridan imposed the sentence today in Trenton federal court.

According to documents filed in this case and statements made in court:

From early 2007 through late 2009, Morton cashed $3,946,046 of Kenal’s gross receipts at a check cashing agency, the majority of which he did not deposit into his business bank account and did not report on his individual income tax returns. For the 2007, 2008, and 2009 tax years, Morton had unreported gross receipts of $1,343,348; $1,471,430; and $1,131,268, respectively, causing a loss to the IRS of $241,412.

In addition to the prison term, Judge Sheridan sentenced Morton to one year of supervised release and ordered him to pay $241,412 in restitution. 

U.S. Attorney Fishman and Assistant Attorney General Keneally credited special agents of IRS – Criminal Investigation, under the direction of Acting Special Agent in Charge Jonathan D. Larsen, for the investigation leading to today’s sentence. 

The government is represented by Trial Attorneys Jessica Moran and Tino Lisella of the Justice Department’s Tax Division. Additional information about the Tax Division and its enforcement efforts may be found at www.justice.gov/tax.

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Defense counsel: Rocco Cipparone Jr. Esq., Haddon Heights, N.J.