- 5 - information relating to the sales reflected by the invoices in Cal Ben’s sales journal (reported sales). During at least 1985, 1986, 1987, and 1988, however, petitioner did not forward to Cal Ben's bookkeepers all of Cal Ben's sales invoices. As a result, sales associated with invoices not forwarded to Cal Ben's bookkeepers were not reflected as sales in Cal Ben’s sales journal (unreported sales). Cal Ben's sales invoices were not identified by number, and therefore unreported sales could not be easily detected and identified. Petitioner generally opened mail containing payments received from Cal Ben's customers. Payments received relating to reported sales were deposited into Cal Ben’s bank accounts at Bay Bank of Commerce. With regard, however, to payments received relating to unreported sales, petitioner or David Karp would prepare bank deposit slips and would deposit the payments into the Lloyds/Sanwa account. Petitioners were aware of the existence of the Lloyds/Sanwa account, and they were aware that unreported sales were not recorded in Cal Ben’s sales journal. During 1985 through 1988, payments received on sales of Cal Ben's soap products were deposited into the above three bank accounts in the following amounts:Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011