Bergen County Doctor Admits Making Millions in Cash Deposits to Avoid Paying Taxes on Medical Practice Income

A doctor from Bergen County who owns three immediate care facilities in Hudson County admitted making millions of dollars’ worth of cash deposits and fraudulently transferring his residence to a family member to evade taxes, U.S. Attorney Paul J. Fishman and Tax Division Principal Deputy Assistant Attorney General Caroline D. Ciraolo said.

Medhat El Amir of Saddle River pleaded guilty in Newark federal court Tuesday to Count One of an indictment charging him with corruptly endeavoring to impede the due administration of the Internal Revenue Code, and Count Two, tax evasion, in connection with an individual income tax return for calendar year 2007, Fishman said.

According to documents filed in this case and statements made in court:

From Feb. 11, 2005 through Dec. 31, 2010, El Amir, a primary care doctor and 60 percent owner of Immediate Care P.C., which provided urgent healthcare services for patients at an office in North Bergen and two offices in Jersey City, attempted to impede the internal revenue laws in a number of ways:

El Amir admitted he fraudulently transferred his residence in Saddle River to his sister for $2.5 million to keep the property out of the reach of the IRS and the payroll taxes he owed through his former practice, according to Fishman.

He also admitted cashing $7,261,083 in Immediate Care insurance company checks at a check cashing facility, depositing the majority of that income into a number of bank accounts to which he had access and using a portion of the money for personal expenses.

El Amir also admitted failing to report taxable income of $2,087,048 for the years 2007-2010, resulting in a $502,160 tax loss to the United States, according to Fishman.

Despite earning a significant income through Immediate Care, El Amir did not file personal income tax returns for calendar years 2007, 2009 and 2010. Although he filed a personal income tax return for calendar year 2008, Fishman says he substantially under-reported the income he received from Immediate Care and claimed interest deductions to which he was not entitled.

According to Fishman, the count of corruptly endeavoring to impede the due administration of the Internal Revenue Code carries a maximum potential penalty of three years in prison and a $250,000 fine and the count of tax evasion carries a maximum potential penalty of five years in prison and a $250,000 fine.

Sentencing is scheduled for June 10.