Sentenced For Evading Tobacco Excise Taxes

[El Presidente]

 

On the surface of it I was wondering when the federal excise tax is only roughly 41 cents a stick, why would you run the risk?  Then you look at the numbers to see the incentive. 💲💲💲

 

Department of Justice

U.S. Attorney’s Office

Middle District of Pennsylvania

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FOR IMMEDIATE RELEASE

Monday, August 8, 2022

Two East Stroudsburg Women Sentenced For Evading Tobacco Excise Taxes

HARRISBURG—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Hope Carbone, age 72, and Donna Venturini, age 70, both of East Stroudsburg, Pennsylvania, were sentenced on August 5, 2022, by U.S. District Court Judge Jennifer P. Wilson to two years of probation for conspiring to evade federal excise taxes on imported large cigars.  

According to United States Attorney Gerard M. Karam, Carbone and Venturini previously admitted to conspiring with Jose Dominguez, the owner of cigar manufacturer Victor Sinclair Cigars, to evade the excise taxes imposed on the importation of Victor Sinclair manufactured cigars from 2009 to 2011.  Carbone and Venturini served as the U.S. importer for Victor Sinclair Cigars, which is located in the Dominican Republic.  Through fraudulent invoices, Dominguez, Carbone, and Venturini collected approximately $3.9 million in excise taxes from U.S. purchasers of Victor Sinclair manufactured cigars.  Of that amount, the co-conspirators paid only approximately $2.1 million to the government, retaining approximately $1.8 million for themselves.  As part of their sentence, Carbone and Venturini were ordered to pay restitution.

Jose Dominguez pleaded guilty to conspiracy to evade federal excise taxes in June 2022.  He is awaiting sentencing.

The case was investigated by the INternal Revenue Service - Criminal Investigation and the Department of Treasury, Alcohol and Tobacco Tax and Trade Bureau.  Assistant U.S. Attorneys Carlo D. Marchioli and Joseph J. Terz prosecuted the case.

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[Chibearsv]

$1.8 Million stolen and they get probation and pay restitution?  Not much disincentive to steal.

[DaBoot]

I’ll be putting my “controversial “ business in granny’s name now….

[Greenhorn2]

3 hours ago, Chibearsv said:

$1.8 Million stolen and they get probation and pay restitution?  Not much disincentive to steal.

I caught 2 idiots breaking in my storage building. Cost me $300 to fix the door. After missing 3 days of work going to court, they got $100 fine and cost of court. Why wouldn't a thief steal? No consequences. 

[MrBirdman]

6 hours ago, Chibearsv said:

$1.8 Million stolen and they get probation and pay restitution?  Not much disincentive to steal.

I’m guessing their age had a lot to do with it. BOP isn’t thrilled with taking on seniors as new inmates - it’s expensive. Also, judges know they’re liable to have them back on the docket for compassionate release claims (bullshit or otherwise). 

[LordAnubis]

I was sweating opening this thread…. 😂

[BrightonCorgi]

US is more and more pro criminal.  We see it daily and constantly; crime pays.

[Cairo]

18 hours ago, El Presidente said:

conspiring with Jose Dominguez, the owner of cigar manufacturer Victor Sinclair Cigars,

They should have been indicted for importing those horrid smokes--yuk!

 

[BrightonCorgi]

There is little sympathy and even fewer friends when govt goes after the tobacco industry.

[MrBirdman]

12 hours ago, BrightonCorgi said:

US is more and more pro criminal.  We see it daily and constantly; crime pays.

Yeah that makes sense. We only imprison more of our population than, let me see, any other country in the world. Very pro-criminal.

[dominattorney]

13 hours ago, MrBirdman said:

Yeah that makes sense. We only imprison more of our population than, let me see, any other country in the world. Very pro-criminal.

I've a funny response to this but it'll just get me banned. Just laugh, trust me, it was good.