May 15, 2017 — Two years ago, Carlos Rafael let it be known that he was ready to sell his New Bedford, Massachusetts-based fishing fleet and wholesale seafood dealership, a business that had combined assets of about $20 million.
But in a meeting with a couple of potential buyers from Russia, Rafael said the real asking price was $175 million and he assured them it would be well worth it. Pulling a ledger labeled “cash” from his desk drawer, the fishing mogul showed how he was able to falsify records to get around both tax law and fishing regulations, netting him millions of dollars in unreported income derived from systematically violating conservation limits.
But the buyers turned out to be undercover agents. And that’s how the feds finally caught up with “The Codfather.”
On March 30, Rafael pleaded guilty in federal court to a 28-count indictment that included charges of tax evasion, falsifying fishing quotas and conspiracy. He is facing up to six years in prison at his sentencing next month, but how much time he will spend behind bars is only one of the many questions that need to be resolved.
What will happen to his fishing fleet and its associated permits? Thirteen boats were connected with the indictment, and they are subject to seizure. But what about the rest of his 40-vessel fleet and wholesale business, which is still operating?