FOR IMMEDIATE RELEASE

FOR FURTHER INFORMATION

Monday, Oct. 15, 2001

Becky Smalley
(302)577-8667
rsmalley@state.de.us

WILMINGTON ACCOUNTANT PLEADS GUILTY

(WILMINGTON, Del.) - William M. Remington, Director of Revenue, announced today that Harvey S. Davidson, a Wilmington certified public accountant pleaded guilty in Superior Court to a tax offense.

Davidson, pleaded guilty today to one count of failure to file a return, supply information, or pay tax for 1998, an offense that is punishable by up to a maximum one-year imprisonment and up to $2,300 in fines.

Davidson was indicted in September on two counts of failing to file personal tax returns, involving failure to report more than $250,000 of Delaware adjusted gross income and pay more than $8,000 in tax for 1998 and 1999.

Judge Richard S. Gebelein sentenced Davidson to pay a $2,000 fine, along with restitution to the Delaware Division of Revenue of $8,489 in tax for 1998 and 1999, and serve a period of probation.

The charges against Davidson are based on an investigation conducted by the Delaware Division of Revenue that resulted in a grand jury indictment in September.

"Mr. Davidson pleaded guilty to charges of intentionally failing to file the same Delaware tax returns to report his income and tax liability as he prepares for clients of his Wilmington accounting business," said Remington.

"The Division of Revenue will not take criminal action against taxpayers who self-disclose their delinquent tax filings by coming forward and working with our representatives to resolve such matters," said Remington. "But where taxpayers are unwilling to self-disclose, service to law-abiding citizens requires the Division of Revenue to deal aggressively with those who fail to file or who underreport their taxes, as with Mr. Davidson, who knew very well that he had tax filing obligations and yet ignored them."

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