Manager of Club Tropicana in Espanola
Pleads Guilty to Federal Tax Charges
Defendant to Pay $297,842 in Restitution to IRS
ALBUQUERQUE – Edward Albert Marquez, 68, the manager and operator of Club Tropicana in Espanola, N.M., pleaded guilty this morning to violating the federal tax laws.
Marquez entered a guilty plea to a two-count felony information charging him with making and subscribing a false tax return, and aiding and assisting the presentment of a false tax return. Count 1 of the information charged Marquez with filing a tax return for tax year 2009 in which he reported no income from Club Tropicana when in fact he received income from Club Tropicana resulting in a tax loss to the United States of $32,701. Count 2 charged Marquez with assisting in the preparation of a tax return for Club Tropicana for tax year 2009 which failed to report income and resulted in a tax loss to the United States of $81,040.
In his plea agreement, Marquez admitted filing false tax returns and assisting in the presentation of false tax returns to evade the assessment of federal taxes by the IRS. The plea agreement states that from 2007 to 2009, Marquez “skimmed” money from Club Tropicana, a bar and package liquor store in Espanola which Marquez operated and managed. Marquez knowingly provided information that falsely underreported the gross income generated by Club Tropicana in the club owner’s tax returns for tax years 2007, 2008 and 2009. Marquez also took cash from Club Tropicana’s gross receipts, deposited the cash in his personal bank account, and failed to report this income in his 2007, 2008 and 2009 tax returns. Today, Marquez admitted that the false returns he filed and caused to be filed resulted in an aggregate of $297,842 in tax losses to the United States.
At sentencing, Marquez faces a statutory maximum penalty of three years in federal prison on each of the two charges. Under the terms of his plea agreement, Marquez also will be required to pay $297,842 in restitution to the IRS. Marquez was released on conditions of release and under pretrial supervision pending his sentencing hearing, which has yet to be scheduled.
This case was investigated by the Albuquerque office of IRS Criminal Investigation and is being prosecuted by Assistant U.S. Attorney Stephen R. Kotz.