Mehdi Moslem, Tax and Bank Fraud, New York 2023
Car Dealership Owners Arrested on Tax and Bank Fraud Charges
The owners of Exclusive Motor Sports, a car dealership in Central Valley, New York, have been arrested on tax and bank fraud charges. Mehdi Moslem, 70, and his son Saaed Moslem, 35, are accused of defrauding the United States by understating income and inventory of their business.
According to the indictment, the father and son duo conspired to defraud the United States by concealing millions of dollars of profits from the IRS. They allegedly caused their accountant to prepare partnership tax returns that significantly understated their business income, resulting in a substantial underreporting of tax due.
The Moslems also conspired to defraud multiple financial institutions by submitting falsely inflated net worth statements and fabricated tax returns in connection with loan applications. In one instance, they submitted a false statement for a $1.2 million mortgage on their dealership property in Central Valley.
Mehdi and Saaed Moslem are each charged with one count of conspiracy to defraud the United States, which carries a maximum sentence of five years in prison, and one count of bank fraud conspiracy, which carries a maximum sentence of 30 years in prison. Saaed Moslem is also charged with two counts of making false statements to a lender, each of which carries a maximum sentence of 30 years in prison, and one count of concealing assets and making false declarations in a bankruptcy case, which carries a maximum sentence of five years.
The case is being handled by the Office’s White Plains Division. Assistant United States Attorney Daniel L has been assigned to the case.
Mehdi Moslem and Saaed Moslem are scheduled to appear before United States Magistrate Judge Lisa Margaret Smith. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
The indictment alleges that the Moslems’ fraudulent activities occurred from 2009 through 2017. The case is ongoing, and further details will be provided as more information becomes available.
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, praised the outstanding investigative work of the IRS-CI and the FBI. Jonathan D. Larsen, Special Agent in Charge of the New York Office of the IRS, Criminal Investigation Division, said that the arrests demonstrate that underreporting business gross receipts to conceal millions of dollars of income is a serious criminal offense.
William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation, said that lying to financial institutions and skirting the regulations put in place by U.S. tax laws is a violation of federal law.
The indictment was unsealed in White Plains federal court on [date].
Key Facts
- State: New York
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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