Jan. 13, 2017 Staff Report
The owner of several Queens car dealerships, including one in Woodside, has been charged for failing to report more than $3.8 million in taxable income, announced Queens District Attorney Richard Brown today.
Mamdoh Eltouby, 65, who owns three car dealerships in Woodside and Jamaica, has been charged for withholding taxes on car sales from the city and state over a five year period totaling more than $332,000. He could face up to 15 years in prison if convicted.
“When consumers pay sales taxes they expect those funds to go into the public treasury and not to be pocketed by business owners,” Brown said. “These types of paper crimes make every New Yorker a victim by cheating the government and the public out of money that is necessary to maintain services and infrastructure.”
Eltouby’s businesses named in the complaint include Planet Motor Cars, Inc., and Hillside Motors, LLC, both of which operate at 161-10 Hillside Avenue in Jamaica, and New York Motor Group, LLC, which operates at 60-20 Northern Boulevard in Woodside.
According to the charges, Eltouby failed to report a total of $3,852,495.82 in taxable sales of vehicles between March 1, 2010, and March 30, 2015, resulting in his theft of $332,160.55 in sales tax that he collected from customers but did not forward on to the city and state.
The complaint estimates that about $166,181.59 was owed to New York State and approximately $165,978.96 was allegedly owed to New York City.
“When unethical business owners violate the trust of their communities by failing to pay the sales tax they collect, all New Yorkers pay the price. We’ll continue to work with District Attorney Brown and all levels of law enforcement to ensure that those who don’t play by the rules are held accountable,” said Acting New York State Commissioner of Taxation and Finance Nonie Manion.
Eltouby was arraigned earlier this week and faces charges of second- and third-degree grand larceny, first-degree falsifying business records and first-degree offering a false instrument for filing.
Eltouby is scheduled to appear in court again on April 17, and until then has been released on his own recognizance.