Purchase of private jet leads to felony charge of cheating the IRS
The former president of a commercial construction company based in Syracuse is in trouble with the Internal Revenue Service for not declaring his private jet as income from the company.
Lloyd Martin pleaded guilty in Federal Court in Syracuse to the felony of filing a false income tax return. He owes the IRS $184,655 and could face as much as 3 years in prison at sentencing on October 13th.
Martin was the president of Henderson-Johnson between 2006 and 2008. He admitted in court that he had $657,640 in income over those three years that he did not report on his personal income tax return. The additional income came from reimbursement of personal expenses including a jet airplane.
Federal prosecutors say Martin knew he had under reported his income and tax liability. He signed the tax return forms under penalty of perjury. The Syracuse Criminal Investigations Division of the IRS conducted the investigation.
Martin is no longer involved with Henderson-Johnson Co. Inc. He started a new company in 2009 called Martin-Zombek Construction Services.