News and Press Releases

News and Press Releases

Owner of Hi-Lake Liquors pleads guilty to tax evasion

May 9, 2012

MINNEAPOLIS—Earlier today in federal court, the owner of Hi-Lake Liquors in Minneapolis pleaded guilty to federal tax evasion. Luke Jacob pleaded guilty to one count of tax evasion. Jacob, who was charged on March 21, 2012, entered his plea before United States District Court Judge Ann D. Montgomery.

In his plea agreement, Jacob admitted that he filed a false tax return for the tax year 2008, when he failed to report more than $486,000 in taxable income. This understatement of income resulted in a tax loss to the Internal Revenue Service (“IRS”) of $75,488.

For his crime, Jacob faces a potential maximum penalty of five years in prison. Judge Montgomery will determine his sentence at a future hearing, yet to be scheduled. This case is the result of an investigation by the IRS-Criminal Investigation Division. It is being prosecuted by Assistant U.S. Attorneys Timothy Rank and Surya Saxena.

Per U.S. Department of Justice policy, the U.S. Attorney’s Office is not allowed to provide the age and city of residence for defendants charged in criminal tax cases.

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