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Hamden Deli Owner Pleads Admits To Tax Evasion

Ray & Mikes in Hamden, Connecticut.
Ray & Mikes in Hamden, Connecticut. Photo Credit: Google Maps

A deli owner in Connecticut may face time in prison after admitting to a tax evasion scheme that saw him fail to pay the government hundreds of thousands of dollars.

Hamden resident Raymond George, 52, who owns and operates Ray & Mike’s on Whitney Avenue, pleaded guilty this week to one count of tax evasion in Bridgeport district court.

In 2012 and 2013, George evaded payment of his federal income taxes in a variety of ways, U.S. Attorney John Durham said. He failed to deposit all of the cash receipts from his business into its bank account, and then used a portion of that cash to fill an in-store ATM and never reported the cash as income.

Durham said that George also used his deli’s business account to pay for personal expenses. He deposited three checks totaling nearly $300,000 from the Ray & Mike’s business account into his own investment account without reporting the money. He then withdrew funds from the investment account to purchase several properties.

George also admitted to depositing a $25,800 check from the Ray & Mike’s lottery account into his personal account without reporting it.

According to Durham, on his federal tax returns, George underreported his income by approximately $365,065 for the 2012 tax year and by $273,108 for the 2013 tax year, and failed to pay a total of approximately $220,000 in taxes.

When he is sentenced, George will face a maximum term of five years in prison and a fine of up to $440,000. He will also pay back $220,663 in taxes, plus interest and penalties. No sentencing date has been announced.

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