Shrewsbury Man, Body Shop Owner, Charged With Tax Fraud

SHREWSBURY, MA — The owner of Everett and Worcester auto body shops is once again in the courtroom, this time for tax fraud charges. Adam Haddad, 43, of Shrewsbury, was charged with tax fraud for a payroll tax scheme resulting in a $292,231 tax loss.

Haddad paid a significant portion of the wages to employees of his company, Accurate Collision, Inc. “under the table,” for tax quarters ending in March 2015 through June 2017. In doing so, Haddad caused Accurate Collision, Inc. to file false returns with the IRS which underreported the actual wages he had paid his employees as well as the employment taxes due to the IRS. In total, Haddad caused a loss to the IRS of at least $292,231, according to United States Attorney Andrew E. Lelling.

Haddad was indicted last year in connection with a complex motor vehicle fraud scheme in where he damaged vehicles and stole $170,000, according to Attorney General Maura Healey. Surveillance footage from his shops showed he had mallets and sledgehammers used to intentionally damage customers cars.

The charging statue provides for a sentence of up to three years in prison, one year of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.