N.J. dealer guilty for identity theft involving U.S. Mint bulk purchases

Evasion of income taxes on more than $400,000 in sales
By , Coin World
Published : 02/27/17
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A former New Jersey coin dealer pleaded guilty Feb. 14 in federal court to avoiding taxes on more than $400,000 in income derived from fraudulently obtaining credit cards to purchase bulk quantities of coin products from the U.S. Mint to “corner the market,” according to a press release from the U.S. Attorney’s Office.

The dealer, William Dominick, 68, formerly of Old Tappan, N.J., but now residing in Collier County, Fla., pleaded guilty in Trenton before U.S. District Judge Anne E. Thompson on one count each of tax evasion and identity theft.

The count of identity theft to which Dominick pleaded guilty carries a maximum potential penalty of 15 years in prison. The count of tax evasion carries a maximum potential penalty of five years in prison. Both counts also carry a fine of up to $250,000.

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Dominick’s sentencing is scheduled for May 23, 2017.

According to a news release issued from the office of U.S. Attorney Paul J. Fishman, Dominick owned and operated Westwood Rare Coin out of his home in Old Tappan. During calendar year 2013, Dominick failed to report on his individual IRS 1040 form $400,000 in income earned by Westwood Rare Coin as required by law. Dominick carried out the tax evasion scheme by using other people’s identities to open credit cards to purchase bulk quantities of coins from the U.S. Mint in an attempt to corner the market, according to the news release.

“Dominick then sold those coins through his business, retained the proceeds for his personal use, and failed to include the proceeds on the tax return that he signed and filed with the IRS,” according to the news release.

Under terms of his plea agreement, Dominick will file amended returns and make full restitution for years 2010 through 2014, according to the news release.

Fishman credited several people with the investigation leading to Dominick’s guilty plea: special agents of the FBI, under the direction of special agent in charge Timothy Gallagher; special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jonathan D. Larsen; and inspectors of the U.S. Postal Inspection Service, under the direction of Postal Inspector in Charge James V. Buthorn. 

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1 comment
Drain the swamp of corrupt coin dealers! With approximately 6,000 coin dealers in the USA, & with the hobby almost totally unregulated on many fronts, I hope the IRS does more audits of a highly corrupt "good old boy" $5 billion a year industry of numismatics.