Rockford Psychiatrist In Trouble For Filing False Tax Returns

From WIFR in Illinois

A Rockford psychiatrist is in big trouble with the federal government tonight, he's accused of filing false tax returns.

Imad Al-Basha allegedly under reported his income by more than 1.7 million dollars from 2000 to 2003.

Al Basha will be arraigned in Rockford on Tuesday. If convicted, he faces up to three years in jail and 250 thousand dollar in fines for each of the 8 counts against him.

UPDATE: Psychiatrist charged with not reporting millions in income - An additional story with many more details

A Rockford psychiatrist who also operated a dermatology business with his wife has been charged by a federal grand jury with allegedly filing false tax returns to the tune of more than $3 million.

Dr. Imad Al-Basha faces the possibility of at least one year in prison, a $250,000 fine and paying restitution if he is found guilty of the charges.

In announcing the indictment Tuesday, the U.S. attorney’s office said Al-Basha acted as vice president of Edgebrook Dermatology, which is owned by his wife, Maria, and filed tax returns that underreported the business’s earnings for four years beginning in 2000. Assistant U.S. Attorney Scott Verseman said Al-Basha’s wife, Maria, who is the owner of the dermatology office, has not been charged.

“I can’t really comment on the reasons why, just that she was not charged,” Verseman said.

Specifically, the indictment alleges that Al-Basha reported that Edgebrook’s income was:

• $106,014 in 2000 when it was “more than $500,000.”
  
  
• $73,314 in 2001 when it was “more than $600,000.”
  
  
• $71,680 in 2002 when it was “more than $600,000.”
  
  
• $47,854 in 2003 when it was “more than $500,000.”

In total, the indictment alleges that Al-Basha under-reported personal income tax returns of $1.5 million and business tax returns of $1.7 million.

According to the Illinois Department of Professional Regulation, Al-Basha’s license was suspended once in 1998 for billing a patient for services that were not rendered.

Department spokeswoman Sue Hofer said Al-Basha paid a $1,000 fine and no further action was taken by the department.

A receptionist at Al-Basha’s office said the doctor was not available Wednesday to comment.

Verseman said Al-Basha was not arrested but has been notified that he is to appear for an arraignment at 11:30 a.m. Tuesday in federal court.