Related Federal Cases
Kenmore Man Pleads Guilty to Mail Fraud and Tax Evasion
A local businessman has pleaded guilty to a pair of serious federal crimes, including mail fraud and tax evasion, in a Buffalo federal court. Michael MacPherson, 56, of Kenmore, New York, entered the guilty plea before U.S. District Judge Richard J. Arcara on [undisclosed date].
According to authorities, MacPherson solicited an individual from Kansas to invest in a bulk cigarette deal in January 2017. MacPherson claimed he had an agreement with a Native American tribe in New York State to purchase cigarettes at a discounted rate and resell them at a significant markup. However, he did not use the funds as promised, instead spending the money on personal expenses.
MacPherson also contacted the individual again in December 2017 to solicit a $20,000 investment for the purchase of carbon fiber. He promised a 30% return within 180 days, but once again used the funds for personal expenses.
Additionally, between 2015 and April 15, 2019, MacPherson attempted to evade income taxes for calendar years 2015 and 2017. He failed to file a federal income tax return for 2015, despite receiving gross income totaling approximately $265,254. In 2017, he omitted approximately $80,156 in gross business receipts, resulting in a tax loss to the United States of $93,815.00.
The plea is the result of an investigation by the U.S. Postal Inspection Service Boston Division and the Internal Revenue Service, Criminal Investigation Division. Sentencing is scheduled for May 25, 2023, before Judge Arcara.
MacPherson faces a maximum penalty of 20 years in prison and a $250,000 fine for his crimes. He is currently awaiting sentencing.
Michael MacPherson is a 56-year-old resident of Kenmore, New York. The charges against him include mail fraud and tax evasion.
The case against MacPherson is a result of an investigation by the U.S. Postal Inspection Service Boston Division and the Internal Revenue Service, Criminal Investigation Division. The investigation revealed that MacPherson used the funds from the investments for personal expenses, including payments to the Niagara Falls Country Club and Canisius High School, airline flights, hotels, car rental, utilities, retail purchases, gas, clothing, groceries, restaurants, and other merchants.
Key Facts
- State: New York
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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