Memphis business owner pleads guilty to sales tax evasion and theft charges

NASHVILLE, Tenn. - On Wednesday, August 29, 2007, Ibrahim Afaneh, age 50, owner of Mini Max #3 convenience store located at 4511 Macon Road in Memphis, Tenn., pleaded guilty to charges of Sales Tax Evasion and Theft Over $10,000. Afaneh was previously indicted by the Shelby County Grand Jury on April 18, 2005, on two Class E Felony counts of filing false sales tax returns, one Class E Felony count of failing to remit sales tax collections, and one Class C Felony count of Theft Over $10,000. These acts occurred during the periods January 1, 2000, through March 1, 2001, and April 1, 2001, through December 31, 2001.

The Honorable Jim Lammey of the Shelby County Criminal Court, Division 5, sentenced Afaneh to 11 months and 29 days for count 1; the Sales Tax Evasion charge and to three years for count 4; the Theft Over $10,000 charge with all time to be served in the Shelby County Workhouse. Judge Lammey then suspended Afaneh’s jail time and placed him on probation for the balance of the sentence. Judge Lammey also ordered Afaneh to repay $17,261.24 in evaded sales tax to the Department of Revenue plus all court costs. Counts 2 and 3 of the indictment were dismissed without costs.

“The Department of Revenue promotes voluntary taxpayer compliance by educating taxpayers, aggressively pursuing criminal sanctions and demanding accountability when taxpayers engage in fraudulent activity,” said Revenue Commissioner Reagan Farr. “This investigation underscores our department’s ongoing efforts to enforce Tennessee’s tax laws.”

This case was pursued criminally by the Special Investigations Section of the Tennessee Department of Revenue in cooperation with Fraud and Economic Crimes Unit of District Attorney William Gibbons office. Citizens who suspect violations of Tennessee’s revenue laws should call the toll-free tax fraud hot line at (800) FRAUDTX (372-8389).