Used car dealer gets 30 months in prison for tax evasion

A Henrico County (North Carolina) man who owned a used-car business in South Richmond was sentenced in federal court Tuesday to 30 months in prison for tax evasion.

Samad Jafari, 55, pleaded guilty to the charge in March and was sentenced by U.S. District Judge Henry E. Hudson. Jafari owned United Import Co. Ltd. in the 6300 block of Midlothian Turnpike.

“The defendant is a major tax scofflaw,” David T. Maguire, an assistant U.S. attorney, told Hudson. “He’s kind of living the lifestyle of the rich and famous while he’s defrauding the government and the public.”

The government said the total tax loss identified in the investigation was more than $668,791 from 2006 through 2010. Records show that in 2005, Jafari bought a home for more than $1 million on Bridgetender Lane.

Jafari’s company, which is about to be sold, was convicted of currency structuring and will forfeit up to $735,225 to the government from the sale.

Proceeds from the sale will be applied to the $668,791 he owes in taxes.

Jafari admitted that beginning in 2006 he concealed the true amount of vehicle sales by depositing cash into his company and personal bank accounts and made multiple same- or consecutive-day deposits in amounts of less than $10,000 to avoid cash transaction reports being sent to the IRS.

Maguire told Hudson that Jafari’s scheme was discovered by a forensic accountant hired by his ex-wife during their divorce and yet the wrongdoing continued.

Jafari’s lawyer, John B. Russell Jr., said Jafari made better efforts in later years at business record keeping.

Hudson was not impressed. “With all due respect, Mr. Russell, I don’t think that this was a product of ineptitude. This was a product of fraud,” the judge said.

Under the plea deal in March, the government agreed to a sentence of 2 to 2 1/2 years. Maguire asked for the full 30 months, and Hudson agreed.

Given a chance to speak before the sentence was imposed, Jafari said, “I’m very sorry it happened. It was a good lesson for me.”

Hudson allowed Jafari to turn himself in to prison authorities Sept. 9.

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Income Tax