Oregon officials name taxpayers owing more than $50,000 in taxes, penalties

By April Ehrlich (OPB)
July 15, 2023 2:06 a.m.

The Oregon Department of Revenue on Friday published a long list of people and companies that owe the state more than $50,000 in taxes.

At the top of the list, state officials name a California-based company, American Patriot Brands, which owes the state $27 million. The company operates a cannabis farm in Medford and formerly ran a grilled cheese food truck in California.

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American Patriot Brands faces fraud charges by U.S. authorities, who have accused its executives of running a “long-running scheme” in which they raised more than $30 million from investors.

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The second-highest owing Oregon taxpayer, according to the state, is the owner of a defunct sneaker re-saler called Zadeh Kicks. Michael Malekzadeh owes Oregon more than $19 million in taxes, according to the revenue department list.

Malekzadeh also faces federal charges, filed in September 2022, which allege he and his fiancé defrauded customers of about $70 million.

Oregon lawmakers passed legislation in 2019 authorizing the Department of Revenue to begin naming taxpayers who owe more than $50,000 in taxes, penalties and interest. Department officials delayed publishing the list in 2020 because of the coronavirus pandemic.

Delinquent taxpayers can have their names removed from the online list by developing a payment plan with the state.

Altogether, the nearly 2,000 delinquent taxpayers on the state’s list owe about $332 million. The taxes owed by Malekzadeh and American Patriot Brands make up about 14% of that. They are the only delinquent taxpayers to owe more than $5 million.

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