An Omaha man plead guilty Wednesday in U.S. District Court to one count of conspiracy for income tax evasion.
United States Attorney Deborah R. Gilg says 50-year-old Michael Haffke participated in a conspiracy with fraudulent tax planners and others designed to hide or remove his name from income producing assets for the purpose of evading personal tax liabilities.
Haffke created in excess of 40 nominee entities purporting to claim ownership of assets that were actually owned and controlled by Haffke. A limited partnership called The Rock Place was created and the partnership purported to lease equipment, real estate and improvements from the nominee entities for the purpose of artificially increasing costs in order to reduce income of the partnership, which would have been attributed to Haffke for tax purposes.
Monies from these purported lease payments were deposited into nominee bank accounts in Colorado and the funds were ultimately distributed to Haffke for his own personal use. As a further part of this scheme, Haffke did not file any personal tax returns during the years 2003 through 2008. The IRS determined the tax loss with the scheme was $422,350.
He faces five years imprisonment, a $250,000 fine and three years of supervised release. Sentencing was set for May 31st.
The case was investigated by the Internal Revenue Service Criminal Investigation Division.