United States Attorney for the Southern District of New York, Jay Clayton, along with Harry T. Chavis, Jr., Special Agent in Charge of the New York Field Office of IRS-CI, announced the unsealing of a 14-count complaint against Nigel Kenneth Joseph. Joseph is accused of failing to pay employee payroll taxes and defrauding a construction contractor out of millions.
“As alleged, Nigel Joseph didn’t just shortchange his workers—he lied about it, falsified records, and pocketed the money for himself,” said U.S. Attorney Jay Clayton. “Then he allegedly defrauded the public by ducking millions in taxes.”
Harry T. Chavis, Jr., commented on the situation: “When a person purportedly leases luxury vehicles, buys NBA tickets and travels to tropical islands instead of paying payroll taxes for his employees, it is the American people who are victimized.”
Joseph founded BWK, a masonry subcontractor based in Bronx, New York in 2019. Between 2019 and 2021, BWK earned at least $10 million through construction projects across New York, New Jersey, and Connecticut. However, Joseph allegedly did not collect or pay payroll taxes amounting to approximately $2.9 million on behalf of his employees and approximately $750,000 owed as an employer.
According to IRS-CI’s analysis and interviews with employees and business partners, Joseph refused to file taxes during this period. Instead of fulfilling tax obligations, he reportedly used company funds for personal expenses including luxury cars and vacations.
The complaint also alleges that Joseph directed falsification of certified payroll documents to obtain nearly $1.96 million from construction contracts by listing false information about employees’ roles and hours worked.
Joseph faces multiple charges including failure to account for and pay over payroll taxes (11 counts), conspiracy to commit wire fraud (one count), wire fraud (one count), and aggravated identity theft (one count). The potential sentences range from two years up to twenty years per charge.
Jay Clayton praised IRS-CI’s investigative efforts while Assistant U.S. Attorney Ryan T. Nees will handle prosecution within the General Crimes Unit.
The charges are accusations at this stage; Joseph remains presumed innocent until proven guilty.
