HONOLULU - Amalia Ralar, 50, a resident of Honolulu, Hawaii, was sentenced on Jan. 19, 2017 to 18 months in federal prison for filing a false tax return underreporting her income, announced. In addition to the prison term, Senior District Judge Helen Gillmor ordered Ralar to pay a $40,000 fine and pay the sum of $354,511 in restitution to the Internal Revenue Service.
Florence T. Nakakuni, United States Attorney for the District of Hawaii, said that according to court documents and information presented in court, Ralar, the owner and operator of a local business, Muscle, Inc., filed tax returns for tax years 2007 through 2014 in which she knowingly failed to report a total of $1,349,231 in taxable income. The failure to report the $1,349,231 resulted in tax losses to the federal government of $354,511. In delivering her sentence, Judge Gillmor referenced large and frequent cash deposits by Ralar totaling $3,046,092 in amounts which the court observed appeared structured to avoid their detection by the Internal Revenue Service.
The case was investigated by the Internal Revenue Service, Criminal Investigation, and was prosecuted by Assistant U.S. Attorney Ken Sorenson.
Source: U.S. Department of Justice, Office of the United States Attorneys
