Restaurant owner who hid over $2M in cash in his bedroom convicted of tax, COVID-relief fraud
SAN DIEGO (FOX 5/KUSI) — A San Diego restaurant owner was convicted of tax and COVID-relief fraud schemes, prosecutors said on Thursday.
Leronce Suel, 46, committed wire fraud, conspiracy and tax crimes by providing bogus information in applications for COVID relief programs and failing to report more than $1.7 million in revenue to the IRS, the Office of the United States Attorney Southern District of California said in a news release Thursday.
Suel, the majority owner of Rockstar Dough LLC and Chicken Feed LLC, conspired with his business partner to underreport over $1.7 million in gross receipts on Rockstar Dough LLC’s 2020 corporate tax return and COVID relief applications, according to court documents and evidence presented at the trial.
Suel falsely certified his businesses was eligible for around $1,773,245 million in COVID-related Paycheck Protection Program loans and Restaurant Revitalization Fund grants, claiming that his businesses would use the money appropriately, per the U.S. Attorney District of Southern California.
In-N-Out sends cease-and-desist to popular North Park bar
“Instead of using the COVID-19 relief program funds on eligible expenses, Suel and his co-conspirator made substantial cash withdrawals from their business bank accounts and purchased a home in Arkansas. As part of their conspiracy, Suel concealed more than $2.4 million in cash in his bedroom,” prosecutors said.
Suel also failed to report millions of dollars in cash and personal expenses paid by the businesses, according to prosecutors. He also filed original and amended tax returns for previous years that included false depreciable assets and business losses in 2023.
“Shirking taxes, lying to the IRS, and stealing COVID relief funds – these are not victimless crimes,” said U.S. Attorney Tara McGrath. “This jury saw through greed and deceit to ensure protection of federal programs designed to support our infrastructure and serve those in need.”
Suel, who stipulated to forfeit $1,466,918 from the $2.4 million seized as proceeds traceable to his pandemic relief fraud, is scheduled to be sentenced on Dec. 13.
Rockstar Dough LLC and Chicken Feed LLC operated restaurants in the San Diego area, which included Streetcar Merchants in the North Park neighborhood.
Copyright 2024 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
For the latest news, weather, sports, and streaming video, head to FOX 5 San Diego & KUSI News.
#Restaurant #owner #hid #cash #bedroom #convicted #tax #COVIDrelief #fraud