New York County District Attorney's Office

Print Text
Main Office
One Hogan Place
New York, NY 10013
212-335-9000
Click for More Contact Info

DISTRICT ATTORNEY - NEW YORK COUNTY
FOR IMMEDIATE RELEASE June 22, 2010	CONTACT: Erin Duggan 212-335-9400
DA VANCE ANNOUNCES GUILTY PLEAS OF 7 INDIVIDUALS FOR PERSONAL INCOME TAX FRAUD More Than $3 Million Recovered for City and State Defendants Included Doctor, Dentist, and City Employee
Manhattan District Attorney Cyrus R. Vance, Jr., today announced the guilty pleas of seven individuals who did not file their personal income tax returns for an extended period of time. These cases are part of a larger investigation by the Manhattan District Attorney’s Office into individuals who failed to file their New York personal income tax returns for a period of five or more years, spearheaded by the New York State Department of Taxation and Finance. “When individuals fail to file their tax returns, let alone pay their fair share, they put an extra burden on the honest taxpayers who are contributing to the well-being of the City and State,” said District Attorney Vance. The most recent conviction is that of RICHARD BRESCIA, 54, the Director of Performance Management and Talent Development of the New York City Department of Education. On June 11, 2010, he pleaded guilty to Offering a False Instrument for Filing in the Second Degree for filing 2008 Electronic Financial Disclosures with the New York City Department of Investigation ("DOI") falsely representing that he had filed his 2007 and 2008 New York personal income tax returns, and to Criminal Tax Fraud in the Fifth Degree, for failing to file his 2008 New York personal income tax return. On the date of his pleas, he was sentenced to 15 days in jail on the false filing offense, and a $500 criminal fine on the failure to file offense. District Attorney Vance also announced that six other individuals have also pleaded guilty to failure to file their 2007 New York personal income tax returns, in violation of former Tax Law §1801(a). They are: ● ELIZABETH O’BRIEN, a registered nurse, pleaded guilty on March 18, 2010, and was sentenced on May 3, 2010, to a conditional discharge and ordered to pay a $5,000 criminal fine. ● PETER WHITEHEAD, an investor, pleaded guilty and was sentenced on April 1, 2010, to a conditional discharge and ordered to pay a $10,000 criminal fine. ● JOHN YAU, a professor and a freelance writer, pleaded guilty and was sentenced on April 26, 2010, to a conditional discharge and ordered to perform 200 hours of community service and pay a $2,500 criminal fine. ● HOWARD BLOOM, a dentist, pleaded guilty on April 19, 2010, and is scheduled to be sentenced on July 15, 2010. ● RODRIGO SACLOLO, a doctor, pleaded guilty on April 27, 2010, and is scheduled to be sentenced on July 12, 2010. ● MARC FRANKEL, a real estate broker, pleaded guilty on May 7, 2010, and is scheduled to be sentenced on July 8, 2010. In addition, all of these individuals have either fully paid their outstanding taxes or agreed as a condition of their respective plea agreements to make payment of the taxes, accrued interest and penalties. Through these convictions, more than $3 million has already been returned to the State and City treasuries. New York State Department of Taxation and Finance Acting Commissioner Jamie Woodward said: “The Tax Department is committed to pursuing all tax delinquents, from blue collar workers to high-wage earners in the medical and legal fields. I commend District Attorney Vance and his staff for their aggressive prosecution of these cases. The State offers programs such as the Voluntary Disclosure and Compliance Program to encourage delinquent taxpayers to become compliant without facing criminal prosecution or civil penalty. It is hoped that these cases will encourage such taxpayers to come forward and satisfy their tax obligation.” DOI Commissioner Rose Gill Hearn said: “These dispositions send the clear message that committing tax fraud is a foolhardy move that ends in arrest, prosecution, and, potentially, jail time. These defendants thought they would fly under the radar and bypass the tax laws. But law enforcement uncovered their schemes and brought them to justice, including the schools official convicted and sentenced to 15 days in jail for not filing his tax returns and then concealing it in City disclosure filings. DOI will continue to work with the New York County District Attorney's Office and the State Department of Taxation and Finance to investigate and stop this kind of fraud.” District Attorney Vance thanked Acting Commissioner Jamie Woodward of the New York State Department of Taxation and Finance and her staff, including Deputy Commissioner William J. Comiskey, Esq., Office of Tax Enforcement; Steven Krantz, Director of Operations, Criminal Investigations Division; Robert Eisman, Esq., Manhattan Special Investigation Unit (“SIU”); Kiran Heer, Esq., Brooklyn SIU; Christine Stevens, Esq., Albany SIU; Audit Section Heads Johnny Neal and Nicholas Capkovic; Auditors Colin DeSacia, Nataliya Sydorchuk, Hui-Qing (Ellen) Cheu, Mukaila Rabiu, and Festus Anaemeje; and Revenue Crime Specialists Raynette A. Kingston, Amanda Rodriguez, Rosa Velasquez, and Leonard Chasten. District Attorney Vance also thanked New York City Department of Investigation Commissioner Rose Gill Hearn; Inspector General of the Department of Finance Faisal Khan and Deputy Inspector General Jeffrey Dolcimascolo; and Julia Davis, the Director of Annual Disclosure of the Conflicts of Interest Board of the City of New York. District Attorney Vance also thanked Assistant District Attorney Gilda Mariani, Chief of the Money Laundering and Tax Crimes Unit, who handled these seven cases with the assistance of the staff of the Unit. Assistant District Attorney Maurice Mathis assisted in the RICHARD BRESCIA case. The District Attorney’s (NYPD) Office Squad, particularly Detective Lawrence White and Detective Robert Mistretta, assisted in the investigation under the supervision of Captain Ronald Haas. Defendant Information: RICHARD BRESCIA, 11/25/55 129 West 89th Street New York, NY (last known address) ELIZABETH O’BRIEN, 10/30/43 315 Avenue C New York, NY 10009 PETER WHITEHEAD, 8/28/48 175 West 90th Street New York, NY JOHN YAU, 6/05/50 1200 BROADWAY New York, NY HOWARD BLOOM, 1/03/59 200 Rector Place New York, NY RODRIGO SACLOLO, 9/19/53 14 Main Street Hyde Park, NY 12538 MARC FRANKEL, 12/25/61 301 East 79th Street New York, NY 10075 Convictions: Offering a False Instrument for Filing in the Second Degree, Penal Law §175.30, a class A misdemeanor, punishable by a sentence of up to 1 year incarceration Failure to File to Report Personal Income and Earnings Tax, under former Tax Law §1801(a), a class A misdemeanor, punishable by a sentence of up to 1 year incarceration Criminal Tax Fraud in the Fifth Degree, under current Tax Law §1802, a class A misdemeanor, punishable by a sentence of up to 1 year incarceration ### Additional news available at: www.manhattanda.org Follow us at twitter.com/ManhattanDA New York County District Attorney \| duggane@dany.nyc.gov \| 212-335-9400