An Auburn Hills Japanese diner and its owners face multiple felonies for filing false tax returns and failing to file tax returns, Michigan Attorney General Dana Nessel announced Monday.
The diner, Joo’s Inc., did business as Makimoto and Makimoto Sushi Bar. It is now under new ownership.
The Michigan Department of Treasury collaborated with the Department of Attorney General in the investigation.
Joo’s Inc. dba Makimoto and its owners – Seok Chu and Hwajeong Joo – have been charged with the following felonies in Ingham County’s 54-A District Court:
—Joo’s Inc. dba Makimoto (Joo’s)
• Three counts of making/permitting a false sales tax return.
• Two counts of failure to file a sales tax return.
• Two counts of failure to file a corporate income tax return.
—Seok Hwan Chu
• Three counts of making/permitting a false sales tax return.
• Two counts of failure to file a sales tax return.
• Two counts of failure to file a corporate income tax return; and
• Three counts of failure to file an income tax return.
—Hwajeong Joo
• Two counts of failure to file an income tax return.
The defendants were arraigned Monday afternoon. Each charge is a five-year felony if convicted.
The Department of Treasury attempted to audit Joo’s Inc. in 2017, which went ignored by the owners. A subsequent investigation showed that Joo’s allegedly filed false tax returns by underreporting its gross sales in 2015, 2016, and 2017.
Additionally, it is alleged no sales tax or corporate income tax returns were filed for Joo’s in 2018 or 2019.
It also appears that Chu failed to file personal income tax returns in 2015, 2018, and 2019, and Joo failed to file personal income tax returns in 2017 and 2018.
Joo’s alleged unreported and underreported sales for 2015-2019 amount to just under $2,000,000.
"I appreciate the work done by our partners at the Department of Treasury that resulted in these charges,” Nessel said. “We remain committed to ensuring our tax laws are being properly followed.”
A probable cause conference is set for May 27 and a preliminary examination is scheduled for June 3 before Ingham County Judge Anthony Flores.
––––––––––––––––––––
Subscribe to the Legal News!
http://legalnews.com/subscriptions
Full access to public notices, articles, columns, archives, statistics, calendar and more
Day Pass Only $4.95!
One-County $80/year
Three-County & Full Pass also available
––––––––––––––––––––
Subscribe to the Legal News!
https://test.legalnews.com/Home/Subscription
Full access to public notices, articles, columns, archives, statistics, calendar and more
Day Pass Only $4.95!
One-County $80/year
Three-County & Full Pass also available
