NEWPORT NEWS, VA. — This is an official press release from the U.S. Department of Justice (USAO - Virginia, Eastern), published as received.
NEWPORT NEWS, Va. – A Williamsburg man pleaded guilty yesterday to tax fraud.
According to court documents, from 2016 to at least 2020, Stephen G. Genakos, 62, was the sole owner and managing director of Sarantos, Inc., a Virginia corporation, having made a Subchapter S election, doing business as a restaurant, Sportsmans Grille, in York County. Since 2016, Genakos skimmed U.S. currency from the Sportsmans Grille.
In 2020, Genakos listed the Sportsmans Grille for sale for $795,000. In 2021, undercover agents from the Internal Revenue Service (IRS) made contact with Genakos. During this operation, Genakos provided IRS agents the chance to view the true books and records of the Sportsmans Grille. For tax years 2016 through 2020, Genakos filed materially false tax returns for himself and his business, Sarantos Inc.
Genakos pleaded guilty to aiding and assisting in the preparation of a materially false tax return and is scheduled to be sentenced on March 21, 2024. He faces a maximum penalty of three years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Kareem A. Carter, IRS Criminal Investigation Special Agent in Charge of the Washington D.C. Field Office, made the announcement after U.S. District Judge Arenda Wright Allen accepted the plea.
Assistant U.S. Attorneys Mack Coleman and Brian Samuels are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:23-cr-37.
