Date: June 9, 2026

Contact: [email protected]

A California man was sentenced today to 27 months in prison for tax evasion, operating an illegal gambling business, and money laundering.

According to court documents and statements made in court, Jason Noah Feinman, of Calabasas, California, operated a Costa Rica-based business that, among other things, operated a website used by unlicensed and illegal gambling businesses to facilitate their gambling activities. The website enabled customers of the gambling businesses to place bets through websites the defendant maintained, which is illegal under state and federal law.

Feinman then laundered the cash he derived from his business by exchanging it for checks made out to him or one of his businesses. For example, between May 18, 2018, and Jan. 2, 2024, Feinman gave one of his customers more than $1.5 million in cash; in exchange he received 18 checks payable to him or his businesses for an equivalent amount. Overall, Feinman exchanged between $1.5 million and $3.5 million in cash for checks.

Between 2018 and 2022, Feinman also evaded taxes on income he earned through his illegal gambling business. Despite earning approximately $1.8 million in income in 2020, Feinman reported no taxable income to the IRS on his 2020 tax return and paid no tax for the year. In total, Feinman evaded taxes on approximately $4.2 million in income.

Feinman pleaded guilty to one count each of tax evasion, operating an illegal gambling business, and money laundering.

Assistant Attorney General Colin McDonald of the Justice Department's National Fraud Enforcement Division and First Assistant U.S. Attorney Bilal A. Essayli for the Central District of California made the announcement.

IRS Criminal Investigation and Homeland Security Investigations investigated the case.

Trial Attorneys John C. Gerardi and Charles A. O'Reilly of the Criminal Division's Tax Section prosecuted the case.

On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department's work to combat fraud supports President Trump's Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.

IRS-CI is the law enforcement arm of the IRS, responsible for conducting financial crime investigations, including tax fraud, narcotics trafficking, money laundering, public corruption, healthcare fraud, identity theft and more. It is the only federal law enforcement agency with investigative jurisdiction over violations of the Internal Revenue Code. IRS-CI has 18 field offices located across the U.S. and maintains an international presence through attaché posts abroad.