A federal grand jury has indicted Edward Michael Greer, a Newport Beach businessman, on charges of tax evasion. According to the indictment, Greer, the owner of insurance salvage company Greer & Kirby Co. Inc., allegedly misclassified millions of dollars in personal expenditures as business expenses between 2017 and 2020.
The indictment alleges that Greer used his company’s bank accounts to cover personal expenses, including payments to bookmakers Wayne Nix and Ken Arsenian to settle gambling losses, as well as the purchase of a 2021 Mercedes Benz. Greer allegedly concealed these payments in the company’s financial records and directed them to be recorded as business expenses to lower taxable income.
Wayne Nix and Ken Arsenian have previously pleaded guilty for their roles in operating an illegal sports gambling business.
If convicted, Greer faces a maximum penalty of five years in prison for each count of tax evasion. Sentencing will be determined by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
The case is being investigated by IRS Criminal Investigation. The charges were announced by Acting Deputy Assistant Attorney General Karen E. Kelly of the Justice Department’s Tax Division and Acting U.S. Attorney Joseph T. McNally for the Central District of California.
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This article, “California Businessman Indicted for Tax Evasion” was first published on Small Business Trends