Greene County man convicted of tax evasion conspiracy | USAO-NDNY
ALBANY, NEW YORK – Joseph D. Radcliffe, 75, of Elka Park, New York, was sentenced today to three years probation and four consecutive weekends in jail as a condition of his probation, for allegedly conspired with others to evade taxes on income from stock sales.
The announcement was made by United States Attorney Carla B. Freedman and Thomas Fattorusso, Special Agent in Charge, New York Field Office, Internal Revenue Service – Criminal Investigation (IRS-CI).
U.S. District Chief Judge Glenn T. Suddaby also ordered Radcliffe to pay $109,106 in restitution to the IRS.
Radcliffe, a former Wall Street stockbroker, pleaded guilty in December 2021 and admitted that from at least 2013 to 2019 he conspired with two family members to receive hundreds of thousands of dollars in personal income. that were not reported to the IRS, allowing him to defraud the IRS and evade assessment and payment of taxes on approximately $500,000 of unreported income. At the time he evaded paying taxes, Radcliffe also owed over $1 million to the United States Securities and Exchange Commission (SEC). after settling fraud allegations with the SEC in 2011. Radcliffe also did not reimburse the SEC.
Imposing his sentence, Chief Justice Suddaby called Radcliffe’s conduct “outrageous” and said Radcliffe had “double down” after his SEC fraud settlement in 2011, subsequently defrauding the IRS.
Radcliffe’s unreported income came from capital gains realized on brokerage accounts in the name of Crackerjack Classics LLC and Universal Consulting LLC. These companies have made payments to and for Radcliffe, including:
- $128,147 in mortgage and interest payments that the companies paid, from 2014 to 2019, to the bank that held the mortgage on Radcliffe’s house in Elka Park;
- $109,022 the companies paid to a New Jersey law firm, in 2014, 2015 and 2017, to settle Radcliffe’s unpaid bills; and
- $99,675 that the companies paid, in 2015 and 2016, in checks payable to “Cash” and which Radcliffe negotiated for himself or had others negotiate for his benefit.
Radcliffe and his co-conspirators did not report Radcliffe’s income to the IRS. Radcliffe further admitted that he did not file a tax return for himself, or report his income to the IRS, for the 2013 through 2019 tax years. He had no bank accounts or brokerage in his own name, and he did not hold or trade securities in his own name.
This case was investigated by the IRS-CI and prosecuted by Assistant US Attorney Michael Barnett.