Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and Jonathan D. Larsen, the Special Agent in Charge of the New York Field Office of the Internal Revenue Service, Criminal Investigation ("IRS-CI"), announced that ANTONIO NIKC, a Chappaqua businessman, pled guilty to tax evasion for the calendar years 2010 through 2014. As part of his plea, NIKC agreed to pay $395,745 in restitution to the Internal Revenue Service (“IRS"). NIKC pled guilty on March 3 before U.S. Magistrate Judge Lisa Margaret Smith.
U.S. Attorney Geoffrey S. Berman said: “As he admitted, Antonio Nikc used family businesses to conceal his substantial income and prevent the IRS from calculating his tax due. While using the business accounts to fund his extravagant lifestyle, Nikc failed to file any personal income tax returns. Now Nikc awaits sentencing for his crime."
IRS-CI Special Agent in Charge Jonathan D. Larsen said: "Our tax system is based on voluntary compliance and we will hold those accountable who fail to report their income out of greed. IRS-CI special agents will continue to pursue those who take advantage of our tax system."
According to the allegations contained in the Information to which NIKC pled guilty and statements made in court:
From 2010 to 2015, NIKC managed a number of family businesses that operate large rental buildings in New York and Connecticut. NIKC ran these businesses and managed his personal finances in a manner designed to conceal his sources of income and prevent the IRS from calculating or assessing his tax due. NIKC treated the business entities’ bank accounts as his own personal bank accounts, using them to pay for more than $1.5 million in personal expenses, including oceanside condominiums in Miami, marina fees for a boat docked in Miami, airline tickets, luxury car payments, college tuition and allowances for his children, and purchases at jewelry stores, clothing stores, and restaurants.
Despite earning and spending a substantial income, NIKC failed to file any personal federal income tax returns and failed to pay any taxes due and owing on the income he received. NIKC took various affirmative steps to evade the assessment of taxes on that income, including paying for personal expenses out of the family business accounts and intentionally maintaining few assets in his own name. Through this scheme, NIKC evaded $395,745 in federal income taxes.
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NIKC, 58, of Chappaqua, New York, pled guilty to one count of tax evasion, which carries a maximum sentence of five years in prison. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. NIKC is scheduled to be sentenced by U.S. District Judge Nelson S. Román on June 5, 2020, at 11:00 a.m.
Mr. Berman praised the outstanding work of the Internal Revenue Service, Criminal Investigation, in this case.
This case is being handled by the Office’s White Plains Division. Assistant U.S. Attorney Jim Ligtenberg is in charge of the prosecution.
Source: U.S. Department of Justice, Office of the United States Attorneys
