Lake Zurich man charged with filing false income tax return

Nearly $174,000 was embezzled from a Bensenville freight-forwarding company by its chief financial officer not long before it went out of business in 2002, according to federal authorities.

Jeffrey A. Meyer has been charged with filing a false income-tax return in April 2001 by not reporting a chunk of the embezzled income from Cargo Inc., according to documents filed by the U.S. attorney's office Tuesday.

Internal Revenue Service special agent Kerry Lynn Hannigan said Friday that Meyer lived in Lake Zurich when the return in question was filed. She didn't immediately know if he still resides in Lake Zurich.

Meyer, who couldn't be located for comment, is accused of embezzling $173,902 from Cargo through unauthorized payroll checks and improper personal use of a corporate credit card. It's alleged Meyer stole from Cargo in 2000 and 2001.

In April 2001, Meyer filed an income-tax return showing he earned $146,081 in the previous year, but willfully omitted $67,771 he gained from the improper use of the credit card and payroll checks, according to court filings.

Cargo suddenly closed in May 2002. More than 100 employees weren't paid for their final two weeks or so of work.

Inverness attorney Daniel Chobot, who served as Cargo's general counsel, said he wasn't surprised to learn of the federal tax charge leveled against Meyer.

Chobot said the company turned over to federal authorities findings from an internal investigation he conducted of Meyer about five years ago.

"If I'm stunned at all, I thought they'd given up the ghost," said Chobot, referring to federal officials not charging Meyer until this week.

Chobot said he found the company's accounting books were in "shambles" when Meyer was terminated shortly before Cargo folded. He said Meyer worked at Cargo for about 15 years.

Founded in 1977, privately held Cargo had $60 million in estimated revenue in 2001.

Meyer is scheduled to appear for a hearing Thursday in U.S. District Court. Hannigan said Meyer has not been formally indicted, but was charged in what's called a criminal information.

"He was very well liked, almost across the board," Chobot said of Meyer.