United States of America v. Pace Chesir et al

Filing 23

MEMORANDUM AND ORDER: The Court finds Chief Magistrate Judge Gold's R&R to be correct, comprehensive, well-reasoned, and free of any clear error. The Court, therefore, adopts the R&R in its entirety as the opinion of the Court. Accordingly, for the reasons stated in the R&R, the government is awarded $321,023.68 in unpaid assessed taxes and $392,929.58 in penalties and interest, for a total of $713,953.26. Additionally, the government is awarded additional interest on the $713,953.26, to be calculated by the Clerk of the Court at the § 6621 rate, beginning from February 5, 2010 through the date of judgment. Finally, the government's applications for an order declaring its lien and an order of foreclosure and sale are granted. Proposed orders are to be submitted promptly for the Court's consideration. Ordered by Judge Eric N. Vitaliano on 7/20/2011. (Fwd'd for judgment) (Brucella, Michelle)

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UNITED STATES DISTRICT COURT
EASTERN DISTRICT OF NEW YORK

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UNITED STATES OF AMERICA,
MEMORANDUM & ORDER

Plaintiff,
08-CV-2552 (ENV) (SMG)
-againstPACE CHESIR, NEW YORK STATE DEPT. OF
TAXATION & FINANCE, and M.D. MORTON
COLEMAN,
Defendants.
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VIT ALIANO, D.J.

Plaintiff United States of America filed a complaint against Pace Chesir, New York State
Department of Taxation and Finance, and M.D. Morton Coleman on June 26, 2008. After
defendants failed to appear or otherwise respond to the complaint, plaintiff moved for default
judgment. On May 18,2010, the Court granted plaintiffs motion for default judgment and
referred the action to Chief Magistrate Judge Steven M. Gold to conduct an inquest.
Following a telephone conference and review of the relevant submissions, Judge Gold
issued a Report and Recommendation ("R&R") on June 27, 2011, recommending that judgment be
entered against Chesir in the amount of $713,953.26, reflecting $321,023.68 in unpaid assessed
taxes and $392,929.58 in penalties and interest. Judge Gold further recommended that plaintiff
be awarded additional interest on the $713,953.26, to be calculated at the interest rate provided in
26 U.S.C. § 6621, beginning from February 5, 2010 through the date of judgment. Finally, he
recommended that plaintiffs applications for an order declaring its lien and an order of foreclosure
and sale be granted. No objections to this R&R have been timely filed by any party.
In reviewing a report and recommendation, the court "may accept, reject, or modify, in

whole or in part, the findings and recommendations made by the magistrate judge." 28 U.S.C. §
636(b)(1 )(C). Moreover, in order to accept a magistrate judge's report and recommendation
where no timely objection has been made, the "court need only satisfy itself that there is no clear
error on the face of the record." Urena v. New York, 160 F. Supp.2d 606,609-10 (S.D.N.Y.
2001) (quoting Nelson v. Smith, 618 F. Supp. 1186, 1189 (S.D.N.Y. 1985».
After careful review of all the evidence in the record below, the Court finds Chief
Magistrate Judge Gold's R&R to be correct, comprehensive, well-reasoned, and free of any clear
error. The Court, therefore, adopts the R&R in its entirety as the opinion of the Court.
Accordingly, for the reasons stated in the R&R, the government is awarded $321,023.68 in unpaid
assessed taxes and $392,929.58 in penalties and interest, for a total of$713,953.26. Additionally,
the government is awarded additional interest on the $713,953.26, to be calculated by the Clerk of
the Court at the § 6621 rate, beginning from February 5, 2010 through the date of judgment.
Finally, the government's applications for an order declaring its lien and an order of foreclosure
and sale are granted. Proposed orders are to be submitted promptly for the Court's consideration.
The Clerk is directed to enter Judgment and to close this case for administrative purposes.

SO ORDERED.
Dated: Brooklyn, New York
July 20,2011

s/ENV
E~: "ITALIANO
U.S.D.l.