Father and Son Owners of Orange County Auto Dealership Sentenced for Fraud | USAO-SDNY
Damian Williams, the United States Attorney for the Southern District of New York, announced that SAAED MOSLEM and his father MEHDI MOSLEM were sentenced today to 96 months in prison and 40 months in prison, respectively, for defrauding their lenders and the Internal Revenue Service (“IRS”). The defendants had previously been convicted of multiple offenses following a two-and-a-half-week jury trial in June 2021. U.S. District Judge Cathy Seibel handed down the sentence in federal court in White Plains.
US attorney Damian Williams said: ‘This father and son duo have spent nearly a decade lying about their finances to secure millions of dollars in fraudulent loans while hiding their income from the IRS and, in the case of Saaed Moslem, avoiding his creditors by a fraudulent bankruptcy filing. . Today’s convictions send a strong message that perpetrators of fraud will be held accountable and brought to justice for their actions. »
According to statements in the indictment, evidence presented at trial and sentencing, other public documents, and court statements:
From 2009 to 2018, MEHDI MOSLEM and SAAED MOSLEM conspired to defraud the United States by concealing profits related to their car dealership, Exclusive Motor Sports, and other businesses from the IRS. To wrongfully reduce their business income, MEHDI MOSLEM and SAAED MOSLEM, among others, had their accountant prepare partnership tax returns that significantly understated Exclusive Motor Sports’ inventory. The fraudulent business income figures were passed on to MEHDI MOSLEM’s and SAAED MOSLEM’s personal tax returns, contributing to an underpayment of nearly $1 million in federal and state taxes.
From 2011 to 2019, MEHDI MOSLEM and SAAED MOSLEM also conspired to commit bank fraud by providing falsely inflated net worth statements and fabricated tax returns as part of loan applications, including for a 1.5 mortgage million dollars on the Exclusive Motor Sports property in Central Valley. SAAED MOSLEM then made numerous false statements to conceal its assets from financial institutions and other creditors when it filed for bankruptcy in 2015. As a result, more than half a million dollars in unsecured debts were fraudulently discharged in the framework of the procedure. In 2019, SAAED MOSLEM committed aggravated identity theft by using a client’s personal identifying information in connection with a fraudulent car loan application.
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In addition to their prison terms, MEHDI MOSLEM, 73, and SAAED MOSLEM, 39, both of Central Valley, New York, were sentenced to three years of probation. MEHDI MOSLEM was also ordered to pay restitution in the amount of $1,040,685.58 and a fine of $100,000. SAAED MOSLEM was ordered to pay forfeiture in the amount of $1,927,303.25 and a fine of $200,000.
Ms Williams praised the investigative work of the FBI and IRS-CI.
This case is handled by the White Plains Division of the Bureau. Assistant United States Attorneys Nicholas S. Bradley, Daniel Loss and James McMahon are in charge of the prosecutions.