New York Man Gets 15 Years for Check Cashing, Tax Fraud Scheme

A New York man was sentenced to 15 years for running an illegal underground check-cashing business to help construction companies avoid paying taxes.

David Motovich ran the scheme out of the same office as his family’s Brooklyn construction materials business, Midwood Lumber, conspiring mainly with principals of other construction companies to pay their employees in cash to avoid tax-reporting requirements, Judge William F. Kuntz II said. Motovich was convicted on 16 of 18 counts, including seven counts of money laundering as well as charges of operating an unlicensed money transmitting business; failure to file currency transaction report; bank fraud; and ...