A 55-year-old Jefferson County businessman was found guilty this week of writing a nearly $4 million bad check to the IRS for several years of unpaid taxes.
Richard Lee Graham, of Gardendale, faces up to 25 years in prison and substantial fines, according to a joint announcement Thursday by U.S. Attorney Louis V. Franklin Sr. of the Middle District of Alabama and Thomas Jr. Holloman, special agent in charge with IRS-Criminal Investigations.
Authorities said evidence at trial showed that in 2014, Graham owed about $3.6 million in taxes, penalties, and interest for tax years 2006 to 2009. To collect that tax debt, the Internal Revenue Service began seizing Graham's properties.
On July 11, 2014, Graham went to the Montgomery IRS Office with a fictitious "International Bill of Exchange" in the amount of $3.6 million, along with false supporting documents, in an attempt to pay his taxes. An International Bill of Exchange is similar to a check or promissory note.
A short time later, Graham showed up at the Birmingham IRS Office with another fake check and tried to use it to settle his tax debt. He also had false documents mailed to an IRS employee in an attempt to prove the legitimacy of the phony check-like instrument, Franklin said.
Authorities did not say what type of business Graham owned. ""Mr. Graham tried to dupe this country out of $3.6 million for his own gain. That is money that could be used to help children or the sick or could be used to build and repair roads and bridges," Franklin said. "Our office will continue to vigorously prosecute those who attempt to illegally avoid their tax obligations in order to benefit themselves."
"Graham was a significant tax evader and thought he could outsmart the government in making his tax debts go away," Holloman said. "IRS-CI will continue to investigate and bring these significant tax cheats to justice and will hold them both financially and criminally responsible for their actions."