GRAND RAPIDS, MI – Jeffrey Roger Richter, a former resident of Grandville, Michigan, and prominent West Michigan businessman and Davenport University benefactor, was sentenced to 30 months imprisonment followed by one year of supervised release for filing a false and fraudulent U.S. income tax return with the IRS, U.S. Attorney Patrick Miles announced today.
In addition to the prison term, U.S. District Judge Robert Holmes Bell ordered Richter to pay $882,655.00 in restitution to the IRS. Richter pleaded guilty before Judge Bell on May 29, 2014.
U.S. Attorney Miles commented that: “Those who illegally fail to pay their fair share of taxes rob from all Americans. Their selfishness is unacceptable and deserves criminal prosecution and punishment. I am pleased with this sentence and restitution.”
According to court records, after graduating from Davenport College with an accounting degree, Richter was employed by John H. Dekker & Sons, Inc. Richter eventually became a part owner of Dekker & Sons, Inc. as well as Hi-Tec Building Services, Inc., a janitorial service.
While at Dekker, Richter began using company credit cards for personal expenditures. Richter knowingly failed to report the income from the use of the corporate credit cards on his federal income tax returns for the 2007 through 2011 tax years. In total, for the years 2007 through 2011, Richter underreported his income by $995,436.07.
By failing to accurately report all of his income, Richter avoided paying approximately $372,000 in personal income tax due and owing to the Internal Revenue Service.
“Richter chose to steal from his business as well as the American taxpayers by filing false income tax returns. IRS-CI’s primary enforcement program is, and will continue to be, directed at individuals like Richter who willfully violate the tax laws,” said Jarod Koopman, Acting Special Agent in Charge of the Internal Revenue Service, Criminal Investigation.
The case was investigated by special agents of the IRS Criminal Investigation Division and prosecuted by Assistant U.S. Attorney B. Rene Shekmer.