TOMS RIVER – The former leader of the Ocean County Republicans, George Gilmore, is scheduled to be sentenced on Jan. 22 regarding tax evasion and other charges.
The sentencing hearing will be before Judge Anne E. Thompson, according to the federal Department of Justice.
The Toms River resident was indicted by a federal grand jury regarding his work as an attorney with his firm Gilmore & Monahan. This firm has since closed and his partner and employees were not charged.
Gilmore’s law firm did work for a number of towns, which dissolved their contracts with him. He also had to step down from being chairman of the county Republicans. Frank Holman took his place in a vote held May 15.
A press release from the U.S. Attorney’s office detailed the charges. As a partner and shareholder at Gilmore & Monahan, he was in control of the law firm’s financials. For tax quarters ending March 31, 2016 and June 30, 2016, the firm withheld tax payments from its employees’ checks, but Gilmore did not pay them in full to the IRS.
Additionally, he applied for a Uniform Residential Loan Application (URLA) to obtain refinancing of a mortgage loan for $1.5 million with a “cash out” provision that provided Gilmore would obtain cash from the loan on Nov. 21, 2014. On Jan. 22, 2015, he updated the application, failing to disclose outstanding 2013 tax liabilities and personal loans he got from other people. He had received $572,000 from the cash out portion of the loan.
The jury was not able to reach a decision on the charge of tax evasion for years 2013, 2014, and 2015, the court spokesman said. He was acquitted of two charges of filing false tax returns for calendar years 2013 and 2014.
The two counts of failing to collect, account for, and pay over payroll taxes each carry a maximum penalty of five years in prison, and a $250,000 fine, or twice the gross gain or loss from the offense. The count of loan application fraud carries a maximum penalty of 30 years in prison and a $1 million fine.
Instead of paying taxes, he had been spending a great deal on home remodeling and lavish decorations, reportedly on such things as a mammoth tusk and a statue of George Washington.
His attorney, Kevin Marino, declared this was part of a hoarding disorder. An expert on this was brought forward to testify, but the federal government did not want to hear this testimony in the case. Gilmore was to have a psychiatric evaluation. The results of that evaluation, or if it even took place, was unknown as of press time.