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NY Consultant Pleads Guilty To Miami-Dade Kickback Scheme

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MIAMI (CBSMiami/AP) — A New York businessman has pleaded guilty in federal court in Miami to taking illegal kickbacks from a Miami-Dade employee.

Paul Raifaizen, co-founder of Data Industries, reportedly filed a false tax return in connection with the scheme.

Data Industries provided information technology to Miami-Dade County between 1998 and 2012. Prosecutors say Raifaizen paid a county employee in exchange for approval of consulting work that was never performed.

The Internal Revenue Service says Raifaizen failed to pay up to $400,000 in income taxes from the scam. The employee, Jesus Pons, pleaded guilty and got a four-year prison sentence.

Raifaizen faces up to three years in prison and a $250,000 fine at sentencing May 1.

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