Defendant laundered millions from illegal narcotics sales and lied to IRS
Date: March 4, 2024
Contact: [email protected]
A Michigan man was sentenced to three years in prison today for money laundering and obstructing the IRS.
According to court documents and statements made in court, from approximately 2008 through 2017, Matthew D. Adams, of Grosse Point Park, sold illegal narcotics to Individual A. Individual A was the president of Company A. Individual A paid Adams for the illegal narcotics with funds embezzled from Company A. Adams and Individual A agreed to make the payments for illegal narcotics appear like they were payments from Company A to Adams¡¯ company, MDA Property Services, for legitimate work performed by Adams¡¯ business. From 2013 through 2017, Adams was paid more than $10 million by checks from Company A for illegal narcotics he sold to Individual A.
Adams did not report the millions of dollars in income he received from selling illegal narcotics on his 2013 to 2016 income tax returns and failed to file a 2017 income tax return. Adams deposited some of the checks into his personal and business bank accounts, and cashed the remainder, totaling approximately $5.3 million, at a local liquor store. Adams told his tax preparer about the deposits in just one of the bank accounts, which caused