Crime & Safety
MA Contractor Sentenced For RI-Involved Tax Fraud
From 2015 to 2018, Richard Karski used a Rhode Island check cashing business to avoid paying taxes on $1.9M in personal and business income.
PROVIDENCE, RI — A Massachusetts contractor convicted of tax fraud was sentenced in U.S. District Court in Providence Tuesday. Richard Karski, 60, frequently came to Rhode Island to cash business checks.
Karski admitted to the tax evasion scheme in October, when he pleaded guilty to attempt to evade or defeat taxes.
According to Rhode Island U.S. Attorney Zachary Cunha's Office, Karski avoided paying taxes on about $1.9 million in personal and business income from 2015 and 2018. As part of the scheme, he would frequently visit a check-cashing business in Pawtucket, where he would cash checks he received from clients. This income was never reported to the Internal Revenue Service, Cunha's Office said, totaling $179,182 in unpaid taxes.
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This week, Karski was sentenced to two years of probation and ordered to repay the back taxes as restitution.
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