September 14, 2004

PRESS RELEASE

TOWING COMPANY OWNER SENTENCED FOR TAX OFFENSES

Boston, MA... A Mansfield resident was sentenced in federal court late yesterday in connection with tax offenses involving his filing of false tax returns that fraudulently inflated the expenses of his towing business by approximately $97,000 during the years 1997 and 1998.

United States Attorney Michael J. Sullivan and Joseph A. Galasso, Special Agent in Charge of the U.S. Internal Revenue Service, Criminal Investigation, announced that JEFFREY MARGOLIN, age 46, of 195 Tremont Street in Mansfield, Massachusetts, was sentenced by U.S. District Judge Douglas P. Woodlock to two years’ probation, the first six months of which are to be served in home confinement.

MARGOLIN pleaded guilty on June 21, 2004 to a two-count Information charging him with filing false and fraudulent federal income tax returns.

At the earlier plea hearing, the prosecutor told the Court that, had the case proceeded to trial, the evidence would have proven that MARGOLIN filed U.S. Individual Income Tax Returns for 1997 and 1998 that falsely understated the net profits of J.D. Towing, a Brighton-based towing company owned by MARGOLIN. MARGOLIN understated the net profits of J.D. Towing, and thus understated the taxes that he owed on those profits, by fraudulently inflating the alleged business expenses of the company. Specifically, MARGOLIN falsely characterized certain personal expenses that he charged on a credit card used by his company as business expenses, thus overstating J.D. Towing’s business expenses by approximately $97,000 over the two-year time period.

The case was investigated by the U.S. Internal Revenue Service, Criminal Investigation and was prosecuted by Assistant U.S. Attorney Michael J. Pineault in Sullivan’s Economic Crimes Unit.

Press Contact: Samantha Martin, (617) 748-3139