Questions? Feedback? powered by Olark live chat software

Husband and Wife Face Charges for Alleged Tax and Bankruptcy Fraud

Belize Bank
U.S. Citizens With Accounts in Belize Banks to be Handed Over to IRS
December 8, 2015
tax fraud schemes
New Mexico Man Indicted Over Alleged 10- Year Tax Fraud Scheme
December 9, 2015

Husband and Wife Face Charges for Alleged Tax and Bankruptcy Fraud

Bankruptcy fraud

Husband and Wife Face Charges for Tax and Bankruptcy Fraud

Some taxpayers are unable to pay their taxes due to the unexpected loss of a job, a serious medical event, or for other reasons outside of that taxpayer’s control. In other circumstances, the taxpayer’s poor financial planning leads to liabilities which appear to be unmanageable. Taxpayers with incomes that are significant or greater than average, typically have more significant tax burdens. Taxpayers who fail to account and prepare for the imposition of tax can quickly find themselves in a difficult situation where they may be tempted to engage in fraudulent behavior to evade all or part of a tax legally due and owing.

Prosecutors allege that Daryl F. Yurek, age 60, and Wendy M. Yurek, age of 60, engaged in multiple fraudulent acts connected to their taxes and bankruptcy. The Yureks made their initial appearance before U.S. Magistrate Judge Kathleen Tafoya on October 8, 2015. A detention hearing has been scheduled for October 13, 2015.

Prosecutors Claim Pair Engaged in Tax Evasion and Bankruptcy Fraud

Daryl Yurek has a long history working in the business financing and start-up financing industry. Mr. Yurek was a partner at Bolder Venture Partners from 1997 to the present and has also worked at or provided services for VetWeRx, ID Watchdog, and the Destron Fearing Corporation. His wife, Wendy Yurek, was a partner at Bolder Venture Partners from 2008 until 2012.

Per allegations charged by U.S. prosecutors, the Yureks filed taxes in the 1999 and 2004 tax years. The couple reported a tax due and owing of $624,127 for 1999 and $53,978 for 2004. For reasons which are not made clear in the complaint, the Yureks were unable to satisfy these tax obligations and carried significant tax debt for a number of years. In 2006, the Yureks attempted to settle the outstanding tax liabilities through an Offer-in-Comprise claiming that they did not have the money to pay the IRS back. Then, in September of 2010, the Yureks attempted to dispose of the tax debt through bankruptcy. The reasons the Yureks gave for their voluntary Chapter 7 bankruptcy petition was the “$1.2 million that the IRS wants.”

Prosecutors allege that the representations made during the offer-in-compromise and bankruptcy proceedings were not accurate. During the relevant time period prosecutors allege that the Yureks were able to have their employer provide significant compensation for personal expenses. These covered personal expenses include:

  • After the March 2006 purchase of a downtown loft for their son at $1.2 million, the Yureks had their employers make mortgage payments on that space from roughly 2006 to 2011. Additional payments were made on the Yurek’s behalf to cover their own home mortgage. The payments for both properties totaled about $528,635.
  • Payment of loft’s condo association fees totaling an additional $43,866.
  • Payments for a vacation rental home at about $115,719.
  • Payments to cover Daryl Yurek’s country club membership totaling $116,009.

Prosecutors also allege that the Yureks engaged in a number of acts intended to actively conceal their fraud. Prosecutors allege that the Yureks provided  untrue and misleading statements on their submitted 433-A. furthermore, prosecutors also allege that in 2008 and 2009 Mr. Yurek transferred shares to his company and to his sons at less than full market value despite indicating that he had not.

What Charges Do the Yureks Face?

For their alleged actions Mr. Yurek has been charged with a single count of tax evasion, a single count of making a false oath in a bankruptcy proceeding, a single count of bankruptcy fraud, and two counts of subscribing a false document. Mrs. Yurek faces similar charges including one count of tax fraud and one count of bankruptcy fraud. If convicted on all charges, Mr. Yurek could face up to 16 years in prison while his wife could face up to 10 years in prison. Both individuals are subject to significant additional fines and penalties.

Rely on an Experienced Tax Attorney When Facing Criminal Tax Penalties

If you have been charged with serious tax crimes, you will face an experienced and determined prosecutor whose job is to secure a conviction and potentially put you behind bars. When you are facing high stakes like these, working with an experienced tax professional of your own can make all of the difference. The Tax Law Offices of David W. Klasing can fight on your behalf to mitigate the charges and consequences you face. To schedule a reduced-rate consultation call 800-681-1295 or contact us online today.