Friday, July 18, 2008
Undocumented Workers do no paid taxes.!!!!!! That Sounds familiar to you.
Tax evasion is in progress BUT not from Undocumented workers. Citizen evaded the payment of more than $3 million in taxes and defrauded more than ten lenders, including several federally insured financial institutions and Stewart Title, of more than $6.6 million. The Punishment fit his crime.!!!!!!!!!!!!!!
FORMER WORCESTER ATTORNEY SENTENCED ON FRAUD, TAX VIOLATIONS CHARGES.
BOSTON, MA - A Worcester man was sentenced today in U.S. District Court on wire fraud and evasion of payment of taxes charges.
United States Attorney Michael J. Sullivan, Warren T. Bamford, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Division and Tyrone G. Barney, Special Agent in Charge of the U.S. Internal Revenue Service, Criminal Investigation - Boston Field Office, announced today that ALAN MASON, age 61, of 26 Pine Hill Road, Princeton, MA, was sentenced by U.S. District Court Judge Dennis Saylor IV, to 9 years of imprisonment, to be followed by 3 years of supervised release. He was also ordered to pay $6,628,119 in restitution. MASON was immediately remanded into custody.
MASON was an attorney whose law practice was centered on providing legal services in connection with real estate closings, and who conducted business in Worcester under the name Alan Mason Legal Services, Inc. MASON was also involved in the purchase and sale of real estate. From at least June 2001 through June 2006, MASON engaged in a fraudulent scheme in which he took funds he received from banks for the purpose of paying off prior liens on properties for closings he was handling, and converted those funds for his own personal and business purposes.
In furtherance of that fraudulent scheme, MASON prepared documents, including checks and HUD-1 forms, which made it appear that he had in fact paid off the prior liens. Instead, MASON made monthly mortgage payments to the prior lienholders in order to prevent the loans from going into default and thus alerting the buyers, sellers and new lenders that the prior lien had not been paid off. As an agent of the title insurance company Stewart Title, MASON issued title insurance policies to real estate buyers and lenders which indemnified them against title defects, even though he knew that the titles were defective because he had not paid off prior lienholders and had not obtained discharges of those liens. MASON’S scheme defrauded more than ten lenders, including several federally insured financial institutions and Stewart Title, of more than $6.6 million.
MASON also evaded the payment of more than $3 million in taxes by, among other things, setting up and controlling multiple real estate trusts and bank accounts using the names of employees and relatives but which did not identify MASON’S interest in writing to prevent the tax authorities from attaching those assets. MASON bought and sold real estate through those trusts and used the substantial profits for personal expenses such as home improvements, an antique clock collection, mortgage payments and investments in new properties.
The case was investigated by the Federal Bureau of Investigation Boston Field Division and the Internal Revenue Service, Criminal Investigation - Boston Field Office. It was prosecuted by Assistant U.S. Attorney Mark J. Balthazard of Sullivan’s Economic Crimes Unit.