A New Jersey businessman, Jason Kronick, has been arrested on four counts of tax evasion.
Kronick evaded paying more than 4.3 million dollars in income taxes from 2008 to 2010, despite having earned approximately 20 million dollars in taxable income during that time period.
Kronick spent approximately 1.5 million dollars to buy 40 rare and expensive watches, 1.9 million dollars for home renovations and $700,000 on personal credit cards that funded a lavish lifestyle. He transferred more than $700,000 from his business accounts to various casinos, where he converted the money to chips, gambled, and then redeemed chips for cash. He also cashed approximately $160,000 in checks at check cashing businesses to hide the income from the IRS.
Kronick faces a maximum sentence of 20 years in prison, a $250,000 fine and restitution.