Happy’s Pizza, which has more than 100 franchises kept two sets of books says Uncle Sam and lied about how much money the pizza shops made.
In addition, the company founder Happy Asker has been indicted for federal conspiracy that he cheated the government out of millions in taxes. Agents from the DEA, ATF and IRS converged on Happy;s corporate HQ and seized business and personal records.
The indictment said that the tax scheme ran from 2004-2011 and that fake numbers were provided to accountants and tax preparers. Meanwhile, a second set of books recorded the real figures and the franchise partners who kept the books allegedly got a piece of the real net profits once a week.
In addition, others in the company including Tagrid Summa Bashi was said to provide false information to Special Agents of the IRS Criminal Investigation regarding earned shareholder income and control of certain franchises.
The charges are felonies.