Clothing Magnate Pleads Guilty to Tax Evasion

Albert Nipon, head of an internationally known women’s clothing firm, pleaded guilty Monday to conspiracy and tax evasion in a scheme to bribe two Internal Revenue Service agents to overlook fraudulent tax returns.

Nipon, 57, of suburban Gladwyne, entered his plea in U.S. District Court before Judge Raymond Broderick, who set sentencing for March 27.

Nipon’s attorney, Joseph Tate, said that the defendant had changed his plea from innocent under an agreement with the U.S. attorney’s office. The agreement provides that Nipon will cooperate with the government and give information on the scheme that involved his personal and corporate taxes, Tate said.

Nipon released a statement through a public relations firm, saying: “I broke the law and am truly sorry for that.”

Tate said that the government had agreed to limit the charges against Nipon to those contained in the Oct. 23, 1984, indictment. Tate and Assistant U.S. Atty. Terri Marinari said that Albert Nipon Inc. would not be a defendant in any case arising from the matters before the court.

Nipon faces up to 15 years in jail and $30,000 in fines on the three counts.

Nipon was accused of paying IRS agents Meyer Weiss, 60, of Philadelphia, and Edmond Costantini, 61, of Broomall, $200,000 for fraudulent examination of 1978 and 1979 personal income tax returns for him and his wife, Pearl, and for fraudulent examination of his company’s corporate returns. Pearl Nipon was not charged in the case.

The indictment alleged that Costantini acted as intermediary for the $200,000 payment.