 |
Baton Rouge businessman arrested for tax fraud, failing to provide unemployment insurance for employees
Source:
revenue.louisiana.gov
- Oct 19, 2017
BATON ROUGE – A Baton Rouge businessman faces felony charges for failing to withhold and remit state income taxes and failing to obtain unemployment insurance for employees of his auto dealership and repair business.
Fares Khalad Ahmad Alsalameh (Booking Photo) is suspected of misclassifying employees as contract workers. Investigators spent several days observing the activities of employees at Fares Motor Company and Factory Engine Exchange at 4520 Florida Boulevard in Baton Rouge. Their activities were consistent with that of employees, rather than that of contract workers. According to the arrest warrant, “it was clear that these workers all came in at the same time each day, had lunch similarly and left for the day at the same time consistently. One worker even opened the businesses each day with a key and opened auto bays in preparation for service to the public.”
In interviews with investigators, workers admitted that they are employees who work at the direction of Alsalameh, are paid in cash or by check, and have never had a written or oral contract.
Louisiana Department of Revenue records show that Alsalameh has never opened a withholding tax account for the business, and information from the Louisiana Workforce Commission indicates his employees are not covered by worker’s compensation insurance.
Alsalameh was arrested on Monday, October 2, 2017, and booked into the East Baton Rouge Parish Prison on Criminal Penalty for Failing to Account for State Tax Monies, Criminal Penalty for Evasion of Tax and Willful Failure to Provide Worker’s Compensation Insurance.
Alsalameh is the 70th person arrested under a joint anti-tax fraud initiative of the Louisiana Department of Revenue and the state Attorney General’s Office. The Louisiana Workforce Commission participated in this investigation.
Category: General Business
|
