TRENTON, N.J. – A Mercer County, New Jersey, man was arrested today for tax evasion and filing false tax returns, U.S. Attorney Philip R. Sellinger announced.
Gordian A. Ndubizu, 67, of Princeton Junction, New Jersey, is charged in an eight-count indictment unsealed today with four counts of tax evasion and four counts of filing false tax returns in tax years 2014 through 2017. He is scheduled to make his initial appearance by videoconference this afternoon before U.S. Magistrate Judge Tonianne J. Bongiovanni.
According to documents filed in this case:
During tax years 2014 through 2017, Ndubizu was a professor of accounting at a university in Pennsylvania as well as the co-owner of Healthcare Pharmacy in Trenton. The pharmacy was organized as an S corporation, the income of which flowed through to Ndubizu and his wife and was to be reported on their personal income tax returns. Ndubizu prepared fraudulent books and records for Healthcare Pharmacy inflating the pharmacy’s costs of goods sold to reduce and underreport the pharmacy’s actual profits flowing through to Ndubizu and his wife. Ndubizu identified certain wire transfers as payments to purchase goods sold by the pharmacy when these wire transfers were in fact made to personal bank accounts under Ndubizu’s control and to bank accounts in Nigeria associated with an automotive company under Ndubizu’s control. Each of Ndubizu’s tax returns for tax years 2014 through 2017 falsely underreported his income and falsely reported that he had no financial interest in or signature authority over any foreign bank accounts. Ndubizu failed to report approximately $3.3 million in income from the pharmacy, resulting in the evasion of approximately $1.3 million in tax due and owing.
Each count of tax evasion carries a maximum potential penalty of five years in prison and a maximum fine of $100,000. Each count of filing a false tax return carries a maximum potential penalty of three years in prison and a maximum fine of $100,000.
U.S. Attorney Sellinger credited special agents of IRS-Criminal Investigation Division, under the direction of Acting Special Agent in Charge Tammy Tomlins in Newark, with the investigation leading to today’s arrest. He also thanked diversion investigators with the Drug Enforcement Administration, officers of the Trenton Police Department, and Mercer County Prosecutor’s Office for their assistance.
The government is represented by Assistant U.S. Attorney Alexander E. Ramey of the U.S. Attorney’s Office Criminal Division in Trenton.
The charges and allegations contained in the indictment are merely accusations and the defendant is presumed innocent unless and until proven guilty. Ndubizu’s wife, Florence Ndubizu, the co-owner of Healthcare Pharmacy, was also arrested today on federal controlled substance offenses charged in a separate indictment. She is not charged in the tax fraud case.