United States Attorney's Office District of Connecticut
Press Release

STRATFORD MAN PLEADS GUILTY TO FILING FALSE TAX RETURNS

Kevin J. O'Connor, United States Attorney for the District of Connecticut, today announced that JAMES A. FARIS, age 58, of 1130 James Farm Road, Stratford, Connecticut, has pleaded guilty to subscribing and filing false federal income tax returns. United States District Judge Mark R. Kravitz accepted FARIS's pleas of guilty on Wednesday, May 19, 2004, in New Haven federal court.

In documents filed with the Court, from on or before 1997 until on or after 2001, FARIS was an owner and president of ORONOQUE PAINTING & REMODELING, INC. (also doing business as J&B Painting, Inc.), a painting and remodeling business that did business in the Fairfield and Stratford area. During the relevant period, FARIS did not inform his accountant of substantial amounts of income received by his business from his clients for work performed, and thus did not ultimately report such income on either the relevant U.S. corporate income tax returns (forms 1120) or as constructive dividends on his U.S. personal income tax returns (forms 1040) for the 1997-2000 tax years.

Relating to the period 1997-2000, the FARIS failed to report on the U.S. corporate income tax returns (forms 1120) for his company Oronoque Painting & Remodeling, Inc., taxable income totaling $423,195.80 as follows: 1997 ($88,471); 1998 ($176,430); 1999 ($127,729.80); 2000 ($30,565). This resulted in the underreporting of taxes due by the company of $107,793 as follows: 1997 ($18,330); 1998 ($52,058); 1999 ($33,064); 2000 ($4,341). In addition, FARIS failed to report taxable income of $431,645 on his jointly filed U.S. personal income tax returns as follows: 1997 ($89,243); 1998 ($181,560); 1999 ($130,277); 2000 ($30,565). This resulted in the underreporting of taxes in the total amount of $118,882 as follows: 1997 ($20,800); 1998 ($53,010); 1999 ($38,029); 2000 ($7,043).

FARIS is scheduled to be sentenced by Judge Kravitz on August 10, 2004, when he faces a maximum term of imprisonment of three years and a fine of up to $453,350.

This case was investigated by Special Agents with Internal Revenue Service – Criminal Investigation. The case is being prosecuted by Assistant United States Attorney Christopher W. Schmeisser.

CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
thomas.carson@usdoj.gov