Yet another trucking company owner has been caught using his trucking company as his own personal ATM. Charles Hammed, owner of C & A Trucking Company of Newark, NJ allegedly deposited $1,780,709 intended for his company into his own bank account.
The $1.7M came in the form of 86 business checks that were never supposed to be in his bank account at all. But not only did Hammed deposit the checks in the wrong account, he then failed to report any of the money as income either for himself or for his company.
According to IRS Special Agent Jonathan Larson, failing to report that money cost the government almost $400,000 in lost taxes.
“Mr. Hammed treated his business income like a personal piggy bank,” Larsen said in a release. “The license to run a business is not a license to skirt your tax obligations.”
According to NJ.com, Hammed pled guilty to charges of tax evasion and faces a maximum sentence of five years in prison and may have to pay a fine of as much as twice the gross amount of his gain from the crime ($3,561,418).
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Source: NJ
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Ray says
Makes me wonder how he thought he would get away with it.
Techslave says
My mom was an IRS agent… A lot of people do get away with stuff like this sometimes for years if they are smart about it. But when they report a $60k a year income but own several properties and expensive cars and boats it attracts attention and if they are a**holes and don’t pay employees fairly someone will inform the authorities. Also simple tax audits will uncover such anomolies.
dwkent says
I think baseball bat should give his head a bunt, the business is his to do with as he pleases. Don’t make assumptions that he isn’t paying his drivers, suppliers etc without positive evidence. He screwed up and overpayed for it. Who is the crook here, Mr. Hammond or the government?
They want a repayment of double??????? The IRS should put on a mask when they come to do an audit because it is robbery in itself.
Ray says
I’m sure he knew what he was doing.
Techslave says
So true! AND they do carry guns. My mom qualified every 6 months. It’s just another form of stealing. “Legally”.
Royce Dressel says
He must have had enviable credit at one time. Grabbing the float and “forgetting” to pay your creditors and taxes is what made tax masters multi billionaires. It isnt like a piggy bank, it would be more like your own printing press. At least he stole enough to make up for the quarter of a million dollars individual social security payments are worth. I would have no respect for him at all if he forgot that detail. And getting caught was pretty sloppy too. Had he only paid his taxes and not been so greedy, he would have gotten away with it!
Dalton says
Royce, he didn’t steal anything. It’s his company and it’s his money. It wasn’t stolen.
John says
Lance what the writer didn’t make clear was that the offender has a commingling issue going on with his finances. That’s a mess!
Any good accountant will have two separate entities -two EIN#’s…personal/business.