LANGHORNE, PA – Andrzej Gosek, the owner of an asbestos abatement company in Langhorne, PA, pleaded guilty to participating in a conspiracy to defraud the Internal Revenue Service (IRS) in a Manhattan federal court.
Gosek pleaded guilty to one count of a three-count indictment, originally filed under seal on February 18, 2010. The indictment charges Gosek and David Porath, a former owner of a maintenance and insulation company, with participating in a conspiracy to defraud the IRS.
According to the indictment, between October 2000 and February 2005, Gosek conspired with Porath to defraud the IRS and to subscribe to false tax returns. Porath gave Gosek checks made out to companies in Brooklyn, N.Y., purportedly for work done at New York Presbyterian Hospital (NYPH) by the Brooklyn companies as sub-contractors to Porath’s company.
The checks totaled approximately $229,100 in 2000; $1.19 million in 2001; $760,000 in 2002; $50,000 in 2003; and $125,000 in 2004. The Brooklyn companies cashed the checks and Gosek delivered the cash back to Porath, less approximately five percent.
Based upon these checks to the Brooklyn companies, Porath took false deductions on his company’s and his personal federal tax returns, allowing Porath to fraudulently reduce his taxable income. Porath is currently under indictment and remains at large.
The tax fraud conspiracy violation that Gosek is charged with carries a maximum penalty of five years in prison and a $250,000 fine. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.
Sentencing for Gosek is scheduled for March 18, 2011. Including Gosek, nine individuals and three companies have pleaded guilty to charges arising out of an ongoing federal antitrust investigation of fraud, bribery, tax-related offenses and bidding irregularities relating to the award of contracts by the Engineering Department of NYPH.
Related Federal Cases
Key Facts
- State: Federal
- Category: White Collar Crime,Fraud & Financial Crimes
- Source: DOJ Press Release ↗
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