Grand jury indictment says Joseph Nocito Sr. hid money from IRS in mansion – By Theresa Clift (tiblive.com) / Feb 14 2018
A businessman has been indicted by a federal grand jury on charges of conspiracy and filing fraudulent income tax returns as he built his 34-room Bell Acres mansion.
The 10-count indictment alleges Joseph Nocito Sr., 76, conspired to conceal millions of dollars in personal income from the IRS by listing construction costs for his 39,000-square-foot mansion as business expenses of his companies, a Department of Justice news release states. He also created a system to transfer money among his companies to evade taxes, authorities said.
Allegheny County online property records say the three-story mansion has 12 bedrooms, 13 full bathrooms and eight half bathrooms. It also lists 22 fireplaces, a slate roof and an exterior made of stone.
Its assessed value is $4.25 million.
The charges have been expected since 2015, when the U.S. Attorney’s Office filed charges against Ann E. Harris , Nocito’s personal assistant.
Nocito is the former CEO and president of Pittsburgh-based Automated Health Systems Inc., a company that administered public health programs for state and local government.
The indictment also alleges Nocito concealed millions in AHS taxable revenue by shuffling millions between his other companies, including Northland Properties, Golden Triangle Leasing and Management Financial Services.
Nocito declined comment, but he has cooperated with the investigation since it began in 2010, Phillip DiLucente, Nocito’s attorney, said in a news release.
The law provides for a total sentence of 32 years in prison, a fine of $2.5 million, or both, the release says.
