CRIMES rock Bath Township as John W. Hufgard, 59, is slammed with an 18-month sentence for a $400k tax evasion scheme that’s as bold as it gets.
Hufgard, the mastermind behind Universal Service and Repair, Limited, sold metal scrap to dealers and pocketed cash instead of reporting it, according to court documents. The feds say he owes $397,659 in back taxes for 2007, 2008, and 2009.
The judge, Patricia A. Gaughan, didn’t just throw Hufgard in the slammer; she ordered him to supervised release for two years after his sentence ends. Steven M. Dettelbach, U.S. Attorney for the Northern District of Ohio, called it a tough lesson on tax compliance.
Hufgard was caught by the Internal Revenue Service Criminal Investigation Division, who pried into his deceptive business practices. He sold racks for cash and funneled income into his personal account, all while falsely recording it as loans to himself. The scam was so sophisticated that he even moved scrapped metal racks long distances to dealers who paid in cash.
On November 26, 2012, Hufgard pleaded guilty to three counts of income tax evasion. Special Assistant United States Attorney Perry D. Mastrocola led the prosecution, and now Hufgard will pay the price for his financial chicanery.
This case serves as a stark reminder that no one is above the law, especially when it comes to robbing Uncle Sam blind. Stay tuned to Grimy Times for more on this gritty tale of tax evasion.
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Key Facts
- State: Ohio
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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