Victory in New York Tax Fraud Case

August.23.2018

An Orrick white collar litigation team recently secured the dismissal of all charges against our client in a criminal tax fraud case in New York State court.

Stephanie Chon was charged by the New York State Attorney General’s Office with criminal tax fraud in connection with the failure to pay sales and withholding tax by a business owned by her family, Spa Castle, Inc. Ms. Chon’s father and uncles, who were also indicted, own Spa Castle, a well-known day-spa in New York that has expanded to other locations. However, Ms. Chon never had any ownership interest in Spa Castle and only worked for the company as a ministerial employee for a brief period. Ms. Chon was nevertheless included in the indictment as a member of the Chon family, even though she has always proclaimed her innocence. The New York State Attorney General’s Office ultimately agreed to dismiss all charges against Ms. Chon, resulting in a complete victory for our client.

The Orrick team representing Ms. Chon was led by partner Amy Walsh and included associate Caitlin Sikes.