He allegedly embezzled millions of dollars and attempted to cover up his fraud.
The former chief financial officer of a retail construction company was indicted on five additional tax charges stemming from his failure to collect, account for, and pay over hundreds of thousands in federal payroll taxes.
Jonathan Baker, 39, of Green Township, New Jersey, was originally charged with five counts of wire fraud and three counts of money laundering for orchestrating a scheme to defraud his former employer and several lenders, including by embezzling millions of dollars for his own personal benefit.
From 2015 through 2018, Baker allegedly defrauded his companies and several commercial lenders, embezzling millions of dollars and fraudulently inducing commercial lenders into providing funds to Baker and his associated entities through fraudulent use of the company’s name, bank statements, balance sheet, and bank accounts.
Baker misappropriated millions of dollars from his companies’ bank accounts and used the funds for his personal expenses, including mortgage payments on Baker’s residence, the purchase of a BMW, and the purchase of six donkeys.
Baker concealed the fraud by making false statements to members of the companies after they confronted him with evidence of the fraud. He falsely claimed that a commercial lender had made a mistake in filing a lien against one of the companies and repeatedly misrepresented that the commercial lender would be issuing a retraction and apology. Baker then refused to meet or engaged with his colleagues and changed the locks and disabled the email and telephone system.