Fraud Friday: A South Carolina resort project - Spidell

Fraud Friday: A South Carolina resort project


A Utah man was found guilty of wire fraud and tax fraud tied to his involvement with a South Carolina resort project. He had purchased the resort after borrowing $17.5 million and obtaining another $10 million from investors. But from the beginning he was unable to make the mortgage payments on the property. In a last ditch effort to keep the property from being sold at auction, he faked a payment receipt for $502,759 in property taxes paid to the County Treasurer’s Office. At the time, the resort only had $121.07 in its bank account. He also collected payroll taxes from his employees which he did not pay over to the IRS, and he used some of the investment funds for personal purposes and failed to report it on his tax return. (www.fitsnews.com/2021/08/30/daufuskie-island-developer-pleads-guilty-in-multimillion-dollar-fraud-scheme/)

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