The owner of a deli in Hamden, CT, Raymond George, waived his right to be indicted and pleaded guilty in federal court to one count of tax evasion.
George, who owned Ray & Mike’s deli, tried to evade taxes in numerous ways between 2012-2013.
According to court documents, George failed to deposit all of the cash receipts he collected from his business into his business bank account. He used a portion of the cash to fill an in-store ATM and didn’t report the cash as income.
George deposited three large checks totaling $300,000 from Ray & Mike’s business account to his personal investment account without reporting the funds as income, and then withdrew the funds to buy personal investment property. He was also accused of depositing a check for $25,800 from Ray & Mike’s lottery account into his personal investment account without reporting the income.
The IRS states that George’s underreported income for those two years totaled $638,173, resulting in a loss to the IRS of approximately $220,000 in taxes.
George faces up to five years in prison and a fine of up to $440,000. He has agreed to pay back taxes of $220,663 plus penalties and interest.