Dealer, Bookkeeper Admit to Tax Scheme

By Staff Writer April 30, 2018

A used-car dealer and his bookkeeper pleaded guilty to charges of conspiracy and filing a false tax return.


Robert Richards pleaded guilty to one count of filing a false tax return, and Jennifer Morrison pleaded guilty to one count of conspiracy to defraud the United States.
Richards and Morrison conspired to defraud the United States and the Internal Revenue Service from January 2006 to April 2010.


Richards funneled the income from his three southwest Pennsylvania dealerships into more than 30 business bank accounts.


The accounts all had “nominee owners,” meaning somebody else’s name was on the account and Richards was listed as that person’s customer, even though he was the actual owner of the income.


Jennifer Morrison, who handled all of the business’ bookkeeping, was one such nominee owner. She and Richards worked together with Richards to funnel more than $1 million in gross business receipts through the nominee bank accounts. Richards and Morrison used funds to pay for personal expenditures.


The tax loss to the IRS was calculated at more than $90,000.

Last modified on Monday, 30 April 2018 22:32

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