Ex-Importer Sentenced in Tax Case

The former president of a San Diego seafood import company was sentenced Friday to seven years in federal prison for income-tax evasion.

Richard Hunt, 42, of El Cajon, was president of Chacklan Enterprises when it went into bankruptcy in 1984, causing investors to lose millions of dollars.

Hunt pleaded guilty Oct. 24 to two counts of income-tax evasion for 1983 and 1984, and to filing a false corporate tax return.

District Judge Judith Keep allowed Hunt to remain free during the Christmas holidays. He is to surrender Jan. 7 to begin his term.

Assistant U.S. Atty. William Hayes told the judge that Hunt spent investors’ money on expensive cars.

“It’s the government’s position that this was a fraud and a scam from the very beginning,” said Hayes.

“He knew he was taking the money intended for seafood sales and gave it to himself. It is simply a Ponzi scheme to steal from investors, and it was done with amazing success,” the prosecutor said.

Hayes said Hunt evaded $50,000 in income taxes in 1983 and $100,000 in 1984.

Hunt’s attorney, Steve Hubachek, said Hunt had “big dreams of having this big business.”

“The dream that he had basically got away from him. He got involved with people who basically took advantage of him. They took a lot of his money,” said Hubachek. “He felt the big strike was around the corner. I think Mr. Hunt believed he could pay all this money back.”

In addition to the prison sentence, Hunt will be placed on five years’ probation, be required to provide complete financial disclosure and pay all income taxes due, and will be forbidden while on probation from working with any business that involves collecting money from investors.