An Oregon man will spend nearly 3½ years in prison for failing to pay more than $1.7 million in personal income taxes.
U.S. District Court Judge Michael H. Simon on Monday sentenced Robert Andrew Lund to 41 months in prison for tax evasion and theft of government funds, according to court records. Lund also faces a 12-month prison sentence for failure to file tax returns in 2013 and 2014, though he’ll serve it at the same time.
In addition to serving time in federal prison, he’ll have to pay $1.8 million in restitution — $1.7 million to the IRS and around $70,000 to the state.
Prosecutors said Lund spent more than a decade defrauding the IRS through tax evasion and the state by wrongfully claiming benefits meant to help those in poverty.
“Three things show Lund’s true self: his willingness to dodge the IRS for 15 years, his theft of public benefits from needy Oregonians while making between approximately $6,000 and $29,000 per month, and his making false statements about his income and assets to multiple courts in affidavits he filed,” a sentencing memorandum reads.
Lund, a computer engineer and programmer, left his job with Hewlett-Packard and moved to Oregon in the mid-1980s, starting a computer consulting company that quickly became lucrative, according to a news release from the U.S. Attorney’s Office for the District of Oregon.
He tried to hide his wealth from the IRS for more than a decade after unsuccessfully appealing tax assessments, prosecutors said. He used a string of limited liability companies, threatened IRS employees, argued he wasn’t a U.S. citizen despite voting, filed bogus bankruptcies and lied under oath, according to a sentencing memorandum.
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Lund used his untaxed profits to buy 90 acres of land outside Eugene and build a 7,000-square-foot home later appraised at $950,000 and built a private landing strip on the property, the news release reads.
He also purchased the former city hall and post office building in Albany, which he used to run his computer consulting company and several smaller businesses, including a health food store, a bookstore and a scuba diving equipment and lessons company, the release adds. He purchased rental properties in the state as well.
For three years starting in 2012, Lund applied for and received food stamp and Medicaid benefits by telling Oregon he was a part-time handyman who earned $810 per month, prosecutors said. In reality, they added, he was worth more than $1.5 million and had a personal income of more than $10,000 per month.
After a complex tax evasion investigation, a federal grand jury in Portland indicted Lund in June 2019 on charges of tax evasion, failure to file personal income tax returns, obstructing or impeding the IRS, and theft of government funds. He also was charged in a separate case with making a false statement in a personal bankruptcy case.
In July 2021, Lund pleaded guilty to tax evasion, failure to file personal income tax returns, and stealing food stamp and Medicaid benefits. Prosecutors dismissed the remaining charges as part of a plea agreement.
Contact city government watchdog Megan Banta at [email protected] Follow her on Twitter @MeganBanta_1.
This article originally appeared on Register-Guard: Engineer who built Oregon mansion to serve 3+ years for tax evasion