LAS VEGAS - - A
Las Vegas man who owns and operates several different businesses in
Las Vegas, including painting, drywall and tile companies, has been
indicted by the Federal Grand Jury on conspiracy and tax evasion
charges, announced Daniel G. Bogden, United States Attorney for the
District of Nevada.
DAVID KAHRE, of Las Vegas, is charged in two separate criminal
indictments with 20 counts of Willful Failure to Collect or Pay Over
Tax, two counts of tax evasion, and two counts of Conspiracy to
Attempt to Evade or Defeat Tax. Twenty-four other individuals,
including his girlfriend, DANILLE CLINE, his mother, MYRA L.
BUONOMO, his sister, LORI A. KAHRE, his brother, JOHN W. KAHRE, and
numerous employees of his businesses, all Las Vegas residents, are
also charged in the Indictments with various counts of Conspiracy
and Attempt to Evade or Defeat Tax.1 If convicted, the defendants
are facing up to five years in prison and a $250,000 fine on each
to the court records, ROBERT DAVID KAHRE operates businesses in Las
Vegas known as Production Air Conditioning, Production Plumbing,
Sherman Tile and Marble, and Wright Painting and Drywall. KAHRE had
many employees, many of whom worked as laborers at his businesses.
KAHRE also provided payroll services for other businesses in Las
through 2003, it is alleged that ROBERT DAVID KAHRE paid his
employees, and the employees of the other businesses with whom he
contracted, in the form of gold, silver, and/or cash. KAHRE
allegedly maintained an office at 6270 Kimberly Avenue in Las Vegas,
where cash, gold, or silver payments were made to the employees. No
federal tax withholdings were made from the paychecks, and the wages
were not reported to the IRS. During the course of the conspiracy,
it is alleged that KAHRE paid over $114 million in unreported cash
wages to employees, including approximately $19,934,416 in cash
wages to his employees, and approximately $94,810,817 in cash wages
to the employees of other contractors with whom he had agreed to
provide payroll services.
Indictments also charge that ROBERT DAVID KAHRE attempted to evade
income tax owed by him for the years 1992 and 1993 in the amount of
$1,000,453, and that he attempted to conceal his income in calendar
years 1996 through 2005 by using straw buyers to purchase various
pieces of real property, and by placing the properties in the names
of his girlfriend, his mother, his sister, and step-father. The
properties include commercial property at 6049 Boulder Highway in
Las Vegas; a ranch at 62436 Mink Lane, in Summerville, Oregon; homes
at 6385 and 6295 North Grand Canyon Drive in Las Vegas; a home at
5680 Ruffian Road in Las Vegas; and real property at 590 Sugar Leo
Circle in St. George, Utah.
The defendants were summoned to
appear before a United States Magistrate Judge on April 18, 2005,
for an Initial Appearance and Arraignment.
The case is
being investigated by Special Agents with IRS Criminal
Investigation, and prosecuted by Assistant United States Attorney J.
is reminded that an indictment contains only charges and is not
evidence of guilt. The defendants are presumed innocent and are
entitled to a fair trial at which the government has the burden of
proving guilt beyond a reasonable doubt.