AUTO BODY SHOP OWNER ADMITS TO DIVERTING BUSINESS CHECKS
He deposited more than $400,000 in checks to his personal account and never declared the income.
A West Virginia man pleaded guilty to a tax crime, admitting that from 2010 through at least 2013, he diverted checks intended for his auto body business.
Timothy Moore, 54, of Logan, W.V., owned Auto Body Specialists, an auto body and collision company. Moore admitted that the diverted checks were payments for auto body or other work, and that he deposited them directly into his personal bank accounts.
In addition, Moore admitted that he hired an outside bookkeeper to prepare his personal and business taxes and to organize the books and records of the business. He admitted that he did not tell his bookkeeper about the diverted checks. When the bookkeeper filed joint income tax returns for Moore and his wife, Moore admitted that he knew his tax returns understated his corporate income, as the returns did not take into account those diverted funds. Moore further admitted that he authorized the bookkeeper to file the false returns.
Moore specifically admitted that in tax years 2010, 2011, 2012, and 2013, he diverted $414,273.58 into his personal accounts that was not reported on his tax returns. Moore also admitted that the total tax loss for his criminal conduct is $127,926.26, and he admitted that he owes that same amount to the IRS as restitution.
Moore faces up to three years in federal prison and a fine of up to $250,000.