United States Department of Justice

United States Attorney Joseph P. Russoniello
Northern District of California

11th Floor, Federal Building
450 Golden Gate Avenue, Box 36055
San Francisco, California 94102
(415) 436-7200
FAX: (415) 436-7234

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FOR IMMEDIATE RELEASE March 27, 2008 WWW.USDOJ.GOV/USAO/CAN

CONTACT:  Joshua Eaton (415) 436-6958 Josh.Eaton@usdoj.gov

HAYWARD CHIROPRACTOR SENTENCED TO 2 YEARS FOR TAX EVASION

Ordered to pay $1,162,222 in restitution for unpaid taxes

OAKLAND – United States Attorney Joseph P. Russoniello announced that Ramon Reynoso was sentenced yesterday to 2 years in federal prison and ordered to pay a $50,000 fine and $1,162,222 in restitution for tax evasion.

Mr. Reynoso, 45, of Castro Valley, California pleaded guilty on September 13, 2007, to one count of tax evasion. According to the plea agreement, Mr. Reynoso admitted that from 1991 through 2004, he was self-employed at his chiropractic business, Dr. Ramon Reynoso Chiropractic Services, located in Hayward, California. He agreed that his taxable income for services from 2000 to 2003 was $3,186,607.78 and the tax due and owing on that income was $1,162,222.

Mr. Reynoso admitted that he had last filed his personal federal income taxes for the calendar year 1996, and despite earning a significant income during the calendar year 2001, he willfully failed to file his federal income taxes and took a number of affirmative acts to willfully attempt to evade and to defeat this income tax due and owing to the United States, including:

• placing assets in nominee accounts, including the Mary S. Caballero Family Trust and the Tlaquepaque Familia Trust, to conceal his ownership of assets;
• using the Zeus Trust to conceal his receipt of income; and
• opening bank accounts with false Social Security Numbers

Mr. Reynoso, was indicted by a federal grand jury on October 26, 2006, and charged with four counts of tax evasion.

Maureen Bessette and Shashi Kewalramani are the Assistant U.S. Attorneys who are prosecuting the case with the assistance of Cynthia Daniel. The prosecution is the result of an investigation by IRS, Criminal Investigation and the United States Postal Inspection Service.

Further Information:             

Case #: CR06-00716

A copy of this press release may be found on the U.S. Attorney’s Office’s website at www.usdoj.gov/usao/can.

Electronic court filings and further procedural and docket information are available at https://ecf.cand.uscourts.gov/cgi-bin/login.pl.

Judges’ calendars with schedules for upcoming court hearings can be viewed on the court’s website at www.cand.uscourts.gov.

All press inquiries to the U.S. Attorney’s Office should be directed to Joshua Eaton at (415) 436-6958 or by email at Josh.Eaton@usdoj.gov.

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