The U.S. Attorney’s Office announced Friday morning federal fraud charges had been filed against Marc Hamid, owner of Skybox on Sheffield, for “under-reporting attendance and revenue” between 2008 and 2011.
According to multiple reports, Hamid was indicted “on federal fraud charges for not paying about $600,000 owed to the Cubs as well as state and local taxing bodies.”
By under-reporting the attendance at Skybox on Sheffield, the Cubs did not receive the royalties from the rooftop club “they should have under the terms of the rooftop owners’ agreement with the team.”
The Tribune reported, “Skybox on Sheffield falsely reported that it had 200 or fewer attendees at certain events when more than 200 people had attended, making it appear that the club complied with ordinances limiting the number of people per event.”
False sales tax returns were filed with the state and false amusement tax reports were also filed with the City of Chicago and Cook County. According to the Tribune, Hamid “made $1.5 million more than he reported.”
As part of the scheme, Hamid “diverted revenue to his other businesses, including JustGreatTickets.com and Just Great Seats in order to conceal some of the rooftop revenues from the Cubs and others.” And he “used some of the unreported money for personal and business expenses.”