There’s something about adult entertainment enterprises that somehow attracts tax troubles. Could it be the plentiful cash and the slightly sleazy nature of some of the business operators? If it’s good enough for a New York Governor….
In any case, Riccardo Di Giuseppe, of Vaughan, Ontario, Canada operated two such facilities: Bunnies and Fantasia. His operations were quite profitable. Of course, it helps when you keep $3,492,415 (Canadian) instead of forwarding it to the Canada Revenue Agency. Back in 1998 Canadian law enforcement raided his clubs in an operation called “Northern Greed.” I don’t know if it was greed or profit, but among the other casualties of the operation were 60 strippers who were found guilty of 115 prostitution-related offenses. They also took over 400 boxes of evidence in the raids which led to the prosecution of Mr. Di Giuseppe.
Mr. Di Giuseppe once owned a 60-foot yacht. After being convicted of tax evasion, and having his appeals denied, Mr. Di Giuseppe received his sentence: six years and a $2 million fine. Mr. Di Giuseppe is going to appeal his sentence but his sailing days are over for the foreseeable future.
Coverage: The Star and Exchange Morning Post