James M. Robar, Tax Evasion, Washington District of Columbia 2023

A former defense contractor executive, James M. Robar, has pleaded guilty to tax evasion in Washington DC. The case, which unfolded over a decade, has left taxpayers with a hefty bill.

According to court documents, James M. Robar, of Colorado Springs, Colorado, failed to timely file tax returns with the IRS from 2010 through 2019. As a managing director for a defense contractor, Robar earned a substantial income, but he evaded taxes by having his employer hold his bonus payments in an offshore corporate bank account rather than transferring them to his domestic bank account.

In 2016 and 2017, Robar’s employer paid him a bonus of over $1 million, which he failed to report as income. In 2019, after receiving a $1 million bonus, Robar purchased two properties worth slightly more than $1 million, titling both solely in his spouse’s name. In total, Robar failed to report approximately $5.5 million in compensation he earned from 2012 through 2019, causing a tax loss to the government of more than $1.5 million.

Robar’s case is not an isolated incident. In February 2022, Charles Squires, another defendant associated with the defense contracting company, pleaded guilty to tax evasion.

Robar is scheduled to be sentenced at a later date and faces a maximum penalty of five years in prison. He also faces a period of supervised release, restitution, and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The investigation into Robar’s case was conducted by the IRS-Criminal Investigation and the Special Inspector General for Afghanistan Reconstruction, with assistance from the Joint Chiefs of Global Tax Enforcement (J5), which brings together the taxing authorities of Australia, Canada, Netherlands, United Kingdom, and the United States.

The case is being prosecuted by Senior Litigation Counsel Nanette Davis and Trial Attorneys Brittney Campbell and Sarah Ranney of the Tax Division, and Assistant U.S. Attorney Leslie Goemaat of the U.S. Attorney’s Office for the District of Columbia.

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