Owner of Queens Construction Company Indicted for Tax Evasion

An indictment was unsealed today in federal court in Brooklyn charging Rafal Ziolkowski, the owner of Oliwa Construction, Inc., in Queens, with seven counts of willfully failing to collect and pay taxes, one count of conspiracy to defraud the United States and one count of making false statements to federal agents.  Ziolkowski was arrested earlier today and is scheduled to be arraigned this afternoon before United States Magistrate Judge Cheryl L. Pollak.   

Richard P. Donoghue, United States Attorney for the Eastern District of New York, and James D. Robnett, Special Agent-in-Charge, Internal Revenue Service Criminal Investigation, New York (IRS-CI), announced the charges. 

 “As alleged in the indictment, Ziolkowski defrauded the United States by not reporting cash wages paid to his company’s employees,” stated United States Attorney Donoghue.  “Today’s indictment serves as notice that this Office is committed to prosecuting those who seek to profit at the expense of the United States and honest taxpayers.”

“As alleged, evading Employment Taxes has an impact on all taxpayers not only in the present but the future as well,” stated IRS-CI Special Agent-in-Charge Robnett.  “Both retired citizens and some dependent children depend on this assistance, which plays a critical role in the financial security of all Americans.” 

According to the indictment, between January 2010 and December 2013, Ziolkowski failed to pay a total of approximately $650,000 in Federal Insurance Contributions Act (FICA) taxes by understating the wages paid to Oliwa employees.  To avoid his tax liability, Ziolkowski paid Oliwa’s workers millions of dollars in cash obtained by cashing commercial checks.  When the IRS confronted Ziolkowski about his scheme, he falsely denied having ever visited a check cashing establishment. 

If convicted of these charges, Ziolkowski faces a maximum sentence of 45 years’ imprisonment.

The charges in the indictment are merely allegations, and the defendant is presumed innocent unless and until proven guilty.

The government’s case is being handled by the Office’s General Crimes Section.  Assistant United States Attorney Nicholas J. Moscow is in charge of the prosecution.

The Defendant:

Rafal Ziolkowski
Age:  41
Ridgewood, New York

E.D.N.Y. Docket No. 18-CR-347 (FB)