Date: Feb. 20, 2025
Contact: newsroom@ci.irs.gov
MIAMI — Eston Eurel Melton III of West Palm Beach, Florida, has pled guilty to tax evasion, in violation of 26 U.S.C. § 7201.
Melton is a lobbyist specializing in Miami-Dade and Palm Beach County governments. According to court documents, Melton failed to pay approximately $1.2 million in taxes for tax years 2005 through 2014. By July 2019, his tax debt, including penalties and interest, was approximately $1.7 million. He evaded the Internal Revenue Service’s efforts to collect the taxes in multiple ways. First, to dissuade the IRS from seizing his residence, he represented to the IRS that he was attempting to sell the residence himself but then undermined his realtor’s efforts to make the sale. Second, Melton owned a lobbying business, Global Projects, Inc. Melton signed approximately $67,000 in checks to himself from Global Projects and the checks were negotiated for cash. A close family member, identified in the court papers as Individual 2, then deposited the same or similar sums in cash into her account shortly Third, Individual 2 opened a lobbying business, Gryphon Partners, Inc., apparently competing with Global Projects. Gryphon Partners’ revenue rose while Global Projects’ fell, and many of Global Projects’ clients transferred to Gryphon Partners. Although Melton continued to provide almost all the lobbying services, Global Projects and Gryphon Partners paid him almost nothing after 2019, instead making all distributions to his family member. Fourth, Individual 2 bought a new home in West Palm Beach, where Melton and Individual 2 lived together. Individual 2 represented to the closing agent that Melton should not be on the deed because Individual 2 was buying the home with her own money. In fact, approximately two thirds of the cash to close was proceeds of Melton’s lobbying work at Global Projects and Gryphon Partners. Fifth, after December 2018, Melton had no checking account. Finally, Melton transferred four life insurance policies, with a total cash value of approximately $51,000, to Individual 2, as well as title to two cars.
A sentencing hearing has been scheduled for May 16, 2025, at 11:00 AM. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Hayden P. O’Byrne for the Southern District of Florida and Acting Special Agent in Charge Emmanuel Gomez of the IRS Criminal Investigation (IRS-CI), Miami Field Office, made the announcement.
Assistant U.S. Attorney Marc Osborne for the Southern District of Florida is prosecuting the case. IRS-CI, Miami Field Office investigated it.