The owners of popular Ocean City restaurant chain Manco & Manco Pizza today admitted evading taxes, structuring cash payments to avoid reporting requirements and lying to IRS special agents, U.S. Attorney Paul J. Fishman announced.
Charles Bangle, 55, of Somers Point, pleaded guilty before U.S. District Judge Robert B. Kugler in Camden federal court to Count 5 of an indictment charging him with evading taxes with respect to his 2010 personal tax returns and Count 30 charging him with structuring financial transactions in 2011 to avoid reporting requirements. Mary Bangle, 54, also of Somers Point, pleaded guilty to Count 7 of the same indictment, which charges her with knowingly making materially false statements to IRS special agents.
According to the documents filed in this case and statements made in court:
Manco & Manco Pizza – formerly Mack & Manco – is an iconic restaurant located in the heart of Ocean City’s Boardwalk and maintains three stores on the Boardwalk and one store in Somers Point. Charles and Mary Bangle were employees of Mack & Manco Pizza until they purchased a controlling interest in 2011. Charles Bangle handled the day-to-day operations of the business and Mary Bangle was responsible for handling cash and payroll.
Charles Bangle admitted to substantially underreporting his income on his 2010 U.S. individual income tax return, specifically, failing to report additional taxable income that he deposited in cash into his bank account during that year. According to the indictment, by only reporting $127,955 in 2010 and omitting an additional $263,113 in taxable income, Charles Bangle avoided $91,577 in taxes. Charles Bangle also admitted to making cash deposits into his TD Bank account in February of 2011 in increments of less than $10,000 in order to prevent TD Bank from filing a Currency Transaction Report with the U.S. Department of Treasury.
Mary Bangle admitted that she was interviewed by IRS special agents on May 30, 2012 at which time she was asked questions about her personal bank account. Mary Bangle falsely stated that, when cash receipts came into the business, she only retained enough to pay that week’s payroll and some bills, when in fact she retained cash receipts for her personal use. Mary Bangle also lied to agents about the amount of cash deposited into her personal banking account, which was substantially more that the net pay listed on her W-2 forms issued by Manco and Manco Pizza.
The tax evasion count to which Charles Bangle pleaded guilty carries a maximum potential penalty of five years in prison and a $250,000 fine, or twice the gain or loss arising out of the offense. The structuring count to which Charles Bangle pleaded guilty carries a maximum potential penalty of ten years in prison and a $250,000 fine or twice the gain or loss from the offense.
The false statements charge to which Mary Bangle pleaded guilty carries a maximum potential penalty of five years in prison and a $250,000 fine, or twice the gain or loss from the offense. Sentencing for both defendants is scheduled for Oct. 8, 2015.