Grosse Ile Businessman Goes to Jail for Filing a False Personal Tax Return
Eric Alan Rush, 40, of Grosse Ile, Michigan was sentenced to 12 months and 1 day imprisonment and 1 year of supervised release for submitting a false personal tax return to the IRS, U.S. Attorney Barbara L. McQuade announced today.
U.S. Attorney McQuade was joined in the announcement by IRS Criminal Investigation Special Agent in Charge Erick Martinez. In addition, United States District Rush was sentenced by United States District Judge George C. Steeh.
Rush pleaded guilty to the federal charges in March on 2011. According to court records, during the 2003 tax year, Rush was the owner and operator of two corporations, Kauri Industrial Supply, Inc. and Kauri Enterprises. Rush received income and was required by law to file accurate income tax returns. Rush knowingly submitted a false personal income tax return to the IRS omitting over $77,000 in personal income. Court records show that Rush used corporate funds for lavish personal expenses. Rush claimed business expenses under his corporations such as $30,000 for a Harley Davidson motorcycle, $27,000 for a country club membership and $3,700 for Detroit Lions season tickets.
"We want to remind the public that the tax system is based on voluntary compliance and the consequences of dishonesty are costly. When a person is caught cheating on their taxes, like Rush, the consequences must be significant." Said Erick Martinez, IRS Criminal Investigation Special Agent in Charge.
The investigation of this case was conducted by special agents of the Internal Revenue Service Criminal Investigation, and prosecuted by Assistant U.S. Attorney Eric M. Straus.