The owners of a Bakersfield auto dealership pleaded guilty Monday to felonies involving the failure to file IRS forms required for cash transactions over $10,000, according to the U.S. Attorney's news release.

Ramiro Catano, 51, and his brother Tereso Catano Casas, 49, co-owned Catano’s Auto Sales and Repair in Bakersfield. They face prison terms of five years and three years, respectively, at their July 10 sentencing. 

On April 2, 2013, an undercover federal agent purchased a vehicle for $12,000 cash from the dealership and requested that the dealership not file a legally required form on the transaction, according to the release from the U.S. Attorney's Office for the Eastern District of California.

The undercover agent also told Ramiro Catano that the cash used to purchase the vehicle was from the sale of cocaine, the release said. Following the sale, the defendants did not file the required form on the transaction.

On July 26, 2013, an undercover federal agent purchased a vehicle for $16,000 cash from the dealership and requested that the dealership not file the required form. The defendants didn't file it, the release said. 

Ramiro Catano pleaded guilty to conspiring to not file a Form 8300, and Tereso Catano Casas pleaded guilty to failing to report a felony because he knew that not filing the form was a felony and failed to tell the proper authorities, the release said. 

As part of the plea agreement, the defendants have agreed to pay a $28,000 forfeiture money judgment.

(6) comments

amtfor attorneys

this town should look into there own offices a lot of bull going on there

TimRoss

The issue here is "money laundering". The laws apply to business and personal transactions over $10K (in some cases less). The issue is cash. The question is where did the cash come from? The point is to identify people who get large amounts of cash from criminal activity and then try to hide or launder the money to it appears legit. These are probably very nice guys who knowingly made a very bad choice; they chose to break the law in two ways: the amount was over $10,000 cash which requires filing. They were told the money was from drug sales. This in itself if a crime if you cooperate. I feel bad for the innocent family members who will suffer the consequences. This should be a warning for all honest business owners, don't let greed lead you to a criminal decision.

amtfor attorneys

oh please why isn't someone looking into all the money IRS has lost in there offices a child molester gets less time. look into the rip off of hospitas and look into the rip off from attorneys and judges now thats the thing to do thats where the money is. and we all know car dealerships rip u off all the time

Andrewmxc12

I know The Owners personally and they are honest, generous, and hard-working people. It's very unfair how Bakersfield Detectives focus on catching a small business with a mistake instead of worrying about the bigger problems in Bakersfield.

The owners made a mistake but that does not make them criminals. They are great honest people who are trying to feed their family and make a living like the rest of us. Iv known them for years and they have always been a hard-working business who sales automobiles and have absolutely nothing to do with drugs or drug dealers.

Bakersfield detectives also could have infested fear into the owners in this case. How are you going to say NO to a drug dealer at your location in your office. I would feel threatened in this position for my family and well-being. It is just not fair and is not justified to treat this men like criminals. Yet alone charge them with prison.

Charging someone with prison for a mistake provoked by the local authorities is unjustified.
We are praying for the Catano family and we are here for you.

sierraone87

Andrew,
It was Federal agents, not Bakersfield PD Detectives that did this. The owners are honest, as you state?? Please, they are not honest or they wouldn't have violated the law. AND YES, this does make them criminals... did you even read the article, because you have no clue what you're talking about. Why do you think they were there in the first place??? It wasn't because the picked them randomly out of the phone book. They received numerous complaints about this business breaking the law. When you try to minimize someone else's actions just because you know them, you make yourself look stupid. Lastly, it is fair to treat them as criminals because guess what, they are criminals!

Pinky Slim

Taxation is theft. This whole thing smells like entrapment. Go bust some real criminals. This retarded story is a chronical of a waste of TAX PAYERS MONEY

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