fb-pixel Skip to main content

Second co-owner of Nick’s Famous Roast Beef in Beverly sentenced for tax fraud

The co-owner of Nick’s Famous Roast Beef in Beverly was sentenced to one year of probation and ordered to pay more than $2 million in restitution for skimming millions of dollars from the business and failing to report it as income, according to the U.S. Attorney’s office.

Nicholas Markos, 70, of Lynn will be allowed to serve probation in home confinement. He pleaded guilty to one count of conspiracy to defraud the Internal Revenue Service and 10 counts of aiding and assisting in the filing of false tax returns. He was sentenced Tuesday in US District Court, prosecutors said in a statement.

Advertisement



Markos was one of two owners charged in December, 2015, with failing to report as much as $6 million in cash receipts from the North Shore sandwich shop over a six year period and not reporting that cash as income and personal tax returns.

Co-owner Nicholas Koudanis, 67, of Topsfield, last month was sentenced to two years in prison followed by two years of supervised release. He was ordered to pay $2,042,366 in restitution, prosecutors said.

His wife, Eleni Koudanis, and their son, Steven Koudanis, last month were sentenced on charges relating to the tax evasion scheme. Eleni, the bookkeeper at the business, was sentenced to one year of probation and was ordered to pay the same amount of restitution as her husband.

From 2008 to 2013, Markos and Nicholas Koudanis skimmed more than $1 million in cash receipts each year from the business that went unreported to the IRS.

Each week, the co-owners divided the cash receipts and decided how much they would use to pay costs associated with the business, how much to deposit and report on their tax returns, and how much to keep for themselves, the statement said.

Advertisement



Nicholas Koudanis was sentenced to two years in prison followed by two years of supervised release. He was ordered to pay $2,042,366 in restitution, prosecutors said.

Eleni Koudanis, who was primarily responsible for the business’s bookmaking, provided false information to the tax preparer and recruited employees, including her son, to create false cash register receipts to be used in the case of an IRS tax audit.

She was sentenced to one year of probation and was ordered to pay the same amount of restitution as her husband.

Steven Koudanis was sentenced to one year of probation and was ordered to pay $151,240 in restitution to the IRS, the statement said.


Jacob Geanous can be reached at jacob.geanous@globe.com. Follow him on Twitter @jacob_geanous.