New Jersey Man Charged with Tax Evasion and Filing False Returns
A federal grand jury in Newark, New Jersey, returned an indictment today charging a New Jersey man with tax evasion and filing false tax returns.
According to the indictment, from 2011 through 2014, Gabriel M. Ferrari, owner of Buses and Trucks Inc. (B&T) in Linden used B&T’s gross receipts to pay personal expenses, including gambling on horse races, and then did not disclose the diverted receipts to his return preparer or the IRS. To hide his income, Ferrari allegedly filed false business and personal tax returns with the IRS.
If convicted, Ferrari faces a maximum sentence of five years in prison for each count of tax evasion, and three years in prison for each false tax return charge. Ferrari also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine a sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Rachael A. Honig for the District of New Jersey made the announcement.
The IRS-Criminal Investigation is investigating the case.
Trial Attorney Ann Marie Cherry of the Tax Division and Assistant U.S. Attorney Andrew Trombly of the U.S. Attorney’s Office for the District of New Jersey are prosecuting the case.