BALTIMORE LIQUOR STORE OWNER SENTENCED TO 18 MONTHS IN
FOR EVADING TAXES
Understated Over $1.5 Million of Income Earned During Four
Tax Years and
Structured At Least $745,000 of Bank Deposits in Attempt to
Baltimore, Maryland - U.S. District Judge Richard D. Bennett
sentenced Chung K. Choi, age 47, of Woodbine, Maryland, today
to 18 months in prison, followed by six months of home
detention as part of three years of supervised release, for
tax evasion. Judge Bennett also ordered that Choi pay
$533,208.77 in restitution to the IRS and $206,045.21 in
restitution to the State of Maryland, which the Judge found
was the total amount of taxes due as a result of Choi's
The sentence was announced by United States Attorney for the
District of Maryland Rod J. Rosenstein; Special Agent in
Charge Rick A. Raven of the Internal Revenue Service -
Criminal Investigation, Washington, D.C. Field Office; and
Commissioner Frederick H. Bealefeld III of the Baltimore
"Corporations just like individuals are required to pay their
fair share of taxes," stated Special Agent in Charge Rick A.
Raven of the IRS Criminal Investigation. "Understatement of
taxable income and structuring deposits are striking examples
of not paying your fair share. This sentence today assures
the American public that IRS Criminal Investigation is
committed to bringing violators of federal tax law to the
table of justice."
According to his plea agreement, Choi owns and operates
Frankford Garden Liquors located at 5418 Sinclair Lane in
Baltimore. The corporate tax returns that Choi filed for the
years 2006, 2007, 2008 and 2009 understated the amount of the
corporation's taxable gross receipts by $1,572,162.
Additionally, from March 5, 2009 to December 16, 2010, Choi
routinely deposited cash into his bank accounts in individual
amounts under $10,000 in order to attempt to avoid triggering
the requirement that the bank report to the IRS transactions
of $10,000 or more. The total amount of structured deposits
was at least $745,000.
United States Attorney Rod J. Rosenstein commended the
IRS-Criminal Investigation and Baltimore City Police
Department for their work in the investigation. Mr.
Rosenstein thanked Assistant United States Attorney Stefan D.
Cassella, who prosecuted the case.