Westchester County District Attorney Anthony A. Scarpino, Jr. announced today that Stefan Malgarinos, forty-seven years old of Pleasantville, New York was arraigned on a felony complaint today in Village of Pleasantville Court and charged with:
- two counts of Grand Larceny in the Second Degree, class “C” Felonies,
- two counts of Grand Larceny in the Third Degree, class “D” Felonies,
- one count of Falsifying Business Records in the First Degree, a class “E” Felony,
- one count of Scheme to Defraud in the First Degree, a class “E” Felony.
The defendant is the owner of Manos Business Management and was hired by businesses to file withholding tax returns, to pay the withholding taxes collected from employees, and to remit unemployment insurance premiums to both state and federal tax and labor authorities. As such, the defendant collected payments from businesses that hired him and was responsible for sending these payments on behalf of his clients to state and federal tax authorities.
The defendant collected the full amount due from his clients but failed to remit the entire amount collected to authorities and used the funds he failed to remit instead for defendant’s personal use without the knowledge or permission and authority of defendant’s clients.
Specifically, the defendant received in excess of $35,000 from the CT/NY Lighting Company located in Stamford, CT and represented to the bookkeeper of CT/NY Lighting Company,that funds were remitted to the Internal Revenue Service for the third Quarter of 2012. The return was actually filed by the defendant on behalf of CT/NY Lighting Company with the Internal Revenue Service on Oct. 31, 2012 without any payment of the employment taxes due.
The defendant also received in excess of $150,000 from Mid Bronx Haulage, Corp., located in the Bronx, which was meant to pay the quarterly tax payments due for the fourth quarter of 2013 and the first and fourth quarters of 2014. Defendant provided to the office manager of Mid-Bronx Haulage, a copy of the Employer’s Quarterly Federal Tax Return for the fourth quarter of 2013 which reflected a zero balance due and represented that this form was the one filed with the Internal Revenue Service when it had not been. As further proof that payment was made, defendant also presented a copy of] the front of a check which was written to the Internal Revenue Service for the benefit of Mid Bronx Haulage on his company’s account. The check was actually never sent. It was later re-deposited into defendant’s personal account.
In 2015, defendant also received approximately $22,000 from Gordo’s restaurant, located in Hawthorne, which was supposed to be remitted by defendant to the Internal Revenue Service on its behalf, but defendant instead sent $2,820.45 instead and used the remainder of the funds to pay his mortgage and other personal expenses while representing full payment had been made. That same year, the defendant also received in excess of $107,000 from Blueline Tactical Supply and Shooting Sports, located in Elmsford, to be used to pay the company’s tax obligations, but defendant remitted only $17,690.48 to authorities and used the remaining $89,532.84 without permission or authority.
The defendant pled not guilty.
His bail was set at $5,000 cash over $5,000 bond.
His next court date is Oct. 24, 2017.
The defendant faces up to fifteen years in state prison.
This case is being prosecuted by Assistant District Attorney Nicole Gamble of the Economic Crime Bureau.