LOWER MANHATTAN — A longtime Community Board 1 member — and former partner in prestigious law firm Hughes Hubbard and Reed — has pleaded guilty to criminal tax fraud — leaving fellow CB1 members “shocked.”
Jeff Galloway, 61, admitted in Manhattan Criminal Court Thursday that he failed to file and pay his personal income taxes from 2005 to 2010 — including while he was a partner at the law firm making nearly $1 million a year, according to prosecutors and court documents.
When Galloway was confronted by New York Department of Taxation and Finance in 2012, he lied to investigators, saying he had filed his tax returns, but that he had made a typographical error with his Social Security number in the paperwork, prosecutors said.
He then proceeded to file fraudulent, amended taxes in a bid to cheat the system, prosecutors said.
He claimed what the DA’s office called “excessive deductions” — including rent for all four of his residential apartments in Battery Park City and monthly garage parking in Manhattan for two personal vehicles.
Several community board members, who asked not to be identified, said they were “completely shocked” by the news of Galloway’s actions.
“My jaw is on the floor,” said one member. “You never know what is going on in someone’s personal life.”
Fellow CB members said Galloway, who resides in Battery Park City, was known as a “community advocate,” "good neighbor" and “lovely father.”
As part of his guilty plea, Galloway will have to serve three months in jail and several years of probation. He also has to pay a $600,000 fine and must resign from the New York State Bar Association.
“When individuals fail to pay their fair share, New Yorkers are forced to make up the difference,” Manhattan district attorney Cyrus Vance said. "I thank our partners at the New York State Department of Taxation and Finance for their work on this case, and for ensuring that those who seek to avoid accountability are held responsible.”
Galloway's lawyer did not immediately return request for comment.
Community Board 1 Chairwoman Catherine McVay Hughes declined to comment.
Galloway is slated to be sentenced on July 22.
