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tl;dr Dan Kyle out on bond until Aug 21 case for tax fraud

Here's to hoping for an Ohlins sale soon...



Defendant failed to report cash income and used cash to purchase cars and jewelry

SAN JOSE – Daniel Laine Kyle pleaded guilty to tax fraud and structuring currency transactions to avoid reporting requirements announced United States Attorney Brian J. Stretch and Internal Revenue Service (IRS), Criminal Investigation, Special Agent in Charge Michael T. Batdorf. The plea was accepted earlier today by the Honorable Edward J. Davila, United States District Judge.

According to the plea agreement, since November 1997, Kyle, from Carmel, Calif., owned and operated Kyle Racing, a performance motorcycle parts and tuning business in Sand City, Calif. Kyle acknowledged that he did not issue invoices to customers who paid cash. He also admitted that he instructed his employees to not issue invoices to cash-paying customers. Kyle admitted he took these steps to underreport his income to the IRS and used the cash he received from his customers to purchase money orders from various United States Post Offices.

In addition, Kyle admitted that between August 8, 2007, and March 22, 2014, he “structured” his cash purchases of money orders to avoid detection. He admitted that he knew anyone purchasing $3,000.00 or more in postal money orders in one day is required to submit a transaction report. Instead of submitting the report, Kyle admitted he intentionally purchased less than $3,000 per day to avoid triggering reporting requirements.

According to his plea agreement, between August 8, 2007, and March 22, 2014, Kyle purchased, with cash, more than $825,000 worth of money orders. Kyle used the money orders to purchase cars and jewelry from Audi Financial, BMW of Monterey, Tiffany and Company, Christies, Porsche Financial Services, Capital One Bank, Citibank, Monterey Credit Union, and Wells Fargo Bank. Kyle acknowledged that the tax loss for 2007 through 2013 resulting from his scheme was between $500,000 and $1,500,000.

On March 22, 2017, Kyle was charged by felony information with willfully making and subscribing a false individual income tax return for the 2007 calendar year, in violation of 26 U.S.C. § 7206(1), and structuring currency transactions to avoid reporting requirements, in violation of 31 U.S.C. § 5324(a)(3) and 31 U.S.C. § 5324(d)(2). Pursuant to today’s plea agreement, Kyle pleaded guilty to both counts in the information.

The maximum sentence for willfully making and subscribing to a false tax return is three years in prison and a fine of $250,000. The maximum sentence for and structuring currency transactions to avoid reporting requirements is ten years in prison and a fine of $500,000. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.

Kyle remains free on bond and is scheduled to appear before Judge Davila on August 21, 2017, at 1:30 p.m. for sentencing.

Assistant U.S. Attorney Gary G. Fry is prosecuting the case with the assistance of Laurie Worthen. The prosecution is the result of an investigation by the Internal Revenue Service, Criminal Investigation, and the United States Postal Inspection Service.

https://www.justice.gov/usao-ndca/p...cycle-business-pleads-guilty-tax-fraud-scheme
 

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Such a bummer because a buddy of mine works for Dan and he has never asked me to pay cash for anything. Must be one of the good guys. Hopefully he doesn't get roped into the mess.
 

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I'm near by him but never heard of the biz. When I read that he asked employees to do this tax evasion whatever my next thought was total lie as no one would be that stupid. If he indeed pled guilty then he caved to a plea bargain entrapment scheme. I know zero of anything but know plenty how power works.
 

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Uncle Sam always keeping the hard working man down to put money in the pockets of the "less fortunate" and by less fortunate i mean the fucking asshole that rolls up in his escalade on 24s with his system pounding to get out, walking the store and buy a bag of chips and a beef jerky stick on his access card, then whip out his wad of hundo's to buy 2 grape flavored blunts and put $10 worth of gas in his sweet ride and the mother fucker never worked a god damn day in his life.
 
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Or you could look at it like the rest of us who are scraping by had to pay in extra because this asshole went out of his way not to contribute his fair share, which in this case appears to be up to 1.5 million!
 

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I bet he was one of those dudes who liked to brag about "...ya know, i havent paid my taxes in years".
 

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Ive been taxed 45% for quite a long time, I doubt Dan Kyle had anything to do with it. Taxes are good if used properly, but they're not. I cant even get the pothole in front of my house filled in thats destroying my suspension. Our taxes are spent on the most rediculous things and there is too many leeches sucking everything out of the working man, its cheaper and more profitable not to work these days.
 
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It's funny to me that the LESS FORTUNATE person is described as someone with a ESCALADE and 24s... who puts a system in his truck because he can. I wonder if this guy realizes that the same person can be hard working to have these EXTRAS...lol...at the same time busting his ass 80 hrs a week for the railroad, working in a factory, blue collar or white collar job etc . The EXTRA hard earned taxed money is used just like most other people...BILLS/ a family / savings/ unforeseen occurrences etc. You really DON'T KNOW how long that LESS UNFORTUNATE person saved/sacrificed to do whatever he had to do to get that truck...zx10, mercedes etc n customize it. My point is just because your offended by a truck on 24s with the system bumping don't stereotype a person because that's probably the SAME HARD WORKING TAXED MAN that built it!
 

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It's funny to me that the LESS FORTUNATE person is described as someone with a ESCALADE and 24s... who puts a system in his truck because he can. I wonder if this guy realizes that the same person can be hard working to have these EXTRAS...lol...at the same time busting his ass 80 hrs a week for the railroad, working in a factory, blue collar or white collar job etc . The EXTRA hard earned taxed money is used just like most other people...BILLS/ a family / savings/ unforeseen occurrences etc. You really DON'T KNOW how long that LESS UNFORTUNATE person saved/sacrificed to do whatever he had to do to get that truck...zx10, mercedes etc n customize it. My point is just because your offended by a truck on 24s with the system bumping don't stereotype a person because that's probably the SAME HARD WORKING TAXED MAN that built it!
He's saying that the guy on 24s has an ebt card and if he can afford that shit he can afford not to be on ebt, not that he has 24s on an escalade
 

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Uncle Sam always keeping the hard working man down to put money in the pockets of the "less fortunate" and by less fortunate i mean the fucking asshole that rolls up in his escalade on 24s with his system pounding to get out, walking the store and buy a bag of chips and a beef jerky stick on his access card, then whip out his wad of hundo's to buy 2 grape flavored blunts and put $10 worth of gas in his sweet ride and the mother fucker never worked a god damn day in his life.
Nope, not how these gov. schemes work and are used. A work acquaintance notices a glitch and reports. The glitch is the key thru the fed doorway leading to the machine. He gets a money kickback from the IRS, if I recall. Bunch of stuff going on. Again, I know zero on this case.
 

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Doesnt forum member LDH work at that shop? Maybe he has some insight?
Yeah, just talked to Mike yesterday. He began running the day-to-day operations when Dan got into hot water a few years back (that's how long they've been investigating). Good thing too because Mike is the right man for the job. He's always treated me well in the past and I've never had him ask me to do anything sketchy like what the article implies their employees were doing. Bought a bunch of stuff from him yesterday regardless. Not his fault his boss is an idiot....
 

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It's funny to me that the LESS FORTUNATE person is described as someone with a ESCALADE and 24s... who puts a system in his truck because he can. I wonder if this guy realizes that the same person can be hard working to have these EXTRAS...lol...at the same time busting his ass 80 hrs a week for the railroad, working in a factory, blue collar or white collar job etc . The EXTRA hard earned taxed money is used just like most other people...BILLS/ a family / savings/ unforeseen occurrences etc. You really DON'T KNOW how long that LESS UNFORTUNATE person saved/sacrificed to do whatever he had to do to get that truck...zx10, mercedes etc n customize it. My point is just because your offended by a truck on 24s with the system bumping don't stereotype a person because that's probably the SAME HARD WORKING TAXED MAN that built it!

Read a little deeper my man,
 

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I had a friend with a Snap-On-Tool truck who did a similar thing.

He only did 3 years, in prison, but like this deal sounds, by the time the Govt went after him, the money owned was such a high number his life was ruined, and his tool truck business was finished.
 
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