Glendale Publisher Gets Prison For $3M Tax Fraud Scheme

Falsified checks in medical contractor scam

LOS ANGELES (CBS) — The Glendale-based owner of several Armenian-language magazines was sentenced Monday to 30 months in federal prison for using his companies as a front for a $3 million tax fraud scheme.

Navasard Petrosyan, 61, was also ordered by U.S. District Judge Gary A. Feess to serve three years of supervised release after he gets out of prison, according to the Internal Revenue Service.

Petrosyan pleaded guilty last August in Los Angeles federal court to a two-count information charging him with conspiring to defraud the IRS and making a false statement to the government.

According to court papers, Petrosyan negotiated checks from various medical provider clients, disguised the checks as advertising expenditures, and gave back to the clients in cash the face value of the checks minus a fee.

By facilitating more than $3 million in cash-back transactions concealed as “advertising” expenditures, the untaxed income resulted in a tax loss of almost $1 million, according to the IRS.

Petrosyan owned such publications as Avangard Weekly, Health and Beauty Magazine, Kroonk Magazine, Muse Magazine, Rainbow Magazine and Time TV Program, officials said.

(©2010 CBS Local Media, a division of CBS Radio Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. Wire services contributed to this report.)

Comments

One Comment

  1. I.M. Fraudian says:

    Armenians involved in tax fraud?! I refuse to believe this!

  2. Minocho says:

    Why I’m not suprised!

  3. dre says:

    They’re just Gypsies with a country…

    1. Not newsworthy says:

      U sound like a monkey whose ancestors were slaves to this country at least they have a country.

  4. Kroonkie says:

    Oh no — they’re shutting down Kroonk Magazine. That was my favorite!

    1. Minocho says:

      It should be called KROOK magazine!

  5. jarvisbrehon says:

    stupid armenians lamaoooooo

    1. Not newsworthy says:

      U r just a hater who is prolly stuck in a dead end job and has no life hahahaha

  6. JARVISBREHON says:

    not newsworthy your real smart the turks slaughtered and enslaved there people you dummy @NOT NEWSWORTHY NYC ALL DAY

    1. Not newsworthy says:

      Yeah except Armenia is still a country, and also due to your diminished intelectual capacity you wouldn’t even know that Armenians were the first nation to accept Christianity. So go back to school and learn a thing or 2.

  7. stanzinator says:

    its the stanzos as usual

  8. Mike 'MC'Dermott says:

    Guess he’ll be needing a few extra cartons of cigarettes….

  9. JARVISBREHON says:

    @Not newsworthy your name describes you best irreleve=ant and lame im a New Yorker makin money in manhattan come see me in the financial district so we can see how smart you are smartin up typical west coast dummys! LAMAOO FROM YOUR TALK YOU GUYS DONT SPEAK PROPER ENGLISH ANYWAY! YOU GUYS DONT EXIST OUT HERE BEAT IT!

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