Medina man charged with multiple tax crimes

ST. PAUL, Minn. – The Minnesota Department of Revenue announced that the Hennepin County Attorney’s Office recently charged Raymond Scott Finley, of Medina, with:

• Four felony counts of failing to file individual income tax returns 
• Four felony counts of failing to pay individual income tax 
• Four felony counts of failing to file corporate income tax returns
• Four felony counts of failing to pay corporate income tax
• One felony count of filing false or fraudulent sales and use tax returns
• One felony count of failing to file Sales and Use Tax returns
• One felony count of failing to pay sales and use tax

According to the complaint, Mr. Finley failed to file Individual Income Tax returns or pay income tax from 2019–2022 and did the same for corporate taxes for his business Finley Bros. dba Tennis West, despite his business having made millions of dollars. He also allegedly filed false Sales and Use Tax returns from November 2019–August 2022 and failed to file Sales and Use Tax returns or pay sales tax from September–December 2022.

Mr. Finley allegedly used money from multiple bank accounts associated with his business for personal purchases including hotel stays, credit card payments, entertainment, and travel. Despite this money being considered taxable, Mr. Finley did not file his tax returns. Mr. Finley was aware of his tax obligations, though he hadn’t voluntarily filed tax returns since 2012. The complaint alleges that Mr. Finley’s accountant had prepared tax returns on his behalf, but Mr. Finley never filed them. Mr. Finley has also been through multiple audits for his business and had previous collection actions taken against him by the department. 

Mr. Finley, according to the complaint, made efforts to conceal his income and assets from authorities, using the company bank accounts for divorce payments, real estate purchases, and vehicle loans for people related to him. 

Mr. Finley allegedly owes over $409,000 in individual and corporate income tax and sales tax. 

Each tax-related felony charge carries a maximum penalty of five years in prison, a $10,000 fine, or both. Defendants are presumed innocent unless and until proven guilty.

Although most taxpayers comply with tax laws voluntarily, the department takes enforcement action against noncompliant taxpayers to ensure that tax laws are administered fairly.

Many of the department’s criminal case referrals come from public tips. There is a 24-hour tip line for anyone who suspects that a person or business is violating Minnesota tax laws. Local callers may dial 651-297-5195 or call toll-free by dialing 1-800-657-3500. Tips can also be submitted to the department by email at tax.fraud@state.mn.us. Tipsters may choose to remain anonymous. 

Combating tax fraud and protecting taxpayer dollars

Since 2022, Revenue has collected nearly $2 billion in compliance enforcement efforts, and stopped nearly $300 million in fraudulently filed returns, saving the state nearly $2.3 billion.

Revenue’s actions have protected more than $550 million per year through stopping fraud and enforcing compliance.

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