After a grand jury investigation Tuesday, the owner of the Hollywood Palms movie theater was charged with more than 100 counts of felony tax evasion, fraud and failure to file tax returns, according to a press release from the Illinois Department of Revenue.
Edward Charles Bulthaup III was arrested Wednesday after Illinois Department of Revenue Criminal Investigations Division agents testified before a grand jury Tuesday.
“When a local businessman evades his responsibilities to pay taxes, it hurts the community, it hurts the state, and it causes every taxpayer to have to reach a little deeper to help pay the bills,” said Brian Hamer, director of revenue, in the release.
Agents searched two locations of his business in February: Hollywood Boulevard, DBA Hollywood Boulevard, 1001 E. 75th St., Woodridge; and Naperville Theater, DBA Hollywood Palms, 352 S. Route 59, Naperville. The Hollywood Boulevard location in Woodridge was purchased by Hobson Financial Group just days after the searches were completed. A Feb. 25 hearing gave final clearance for Hollywood Blvd. to be purchased by Hobson Financial Group of Illinois Inc., after a Jan. 31 public auction, court documents show.
The findings of the two searches were reported to the grand jury Tuesday. Records and computer information were seized, according the release. The Naperville Police Department also assisted. The investigations resulted in two separate multiple count indictments Tuesday.
The charges resulting from the searches at each theater, along with the minimum tax liability associated with each charge are as follows:
Hollywood Boulevard
1 count sales tax evasion — Class 1 Felony
6 counts sales tax evasion — Class 2 Felony
41 counts of fraudulent filing of Illinois sales and use tax returns — Class 3 felonies
1 count of mail fraud — Class 3 felony
1 count wire fraud — Class 3 felony
3 counts failure to file Illinois sales and use tax return — Class 3 felonies
(53 counts)
Hollywood Palms
1 count sales tax evasion — Class 1 Felony
8 counts sales tax evasion — Class 2 Felony
45 counts of Fraudulent Filing of Illinois Sales and Use tax returns — Class 3 felonies
1 count of Mail Fraud — Class 3 felony
1 count Wire Fraud — Class 3 felony
(56 Counts)