Money Matters - Simplified

Executive hit with 67 felony counts

Dayton, Ohio -- The U.S government charged former PaySource Inc. owner Robert Sacco with 67 felony counts and is seeking $26.7 million in taxes owed, court papers say.

The charges were filed in Dayton, Ohio, the Daily News reported Wednesday.
Sacco was arrested Monday at Orlando International Airport in Florida as he returned from an overseas vacation. He has been freed on a $50,000 bond, the newspaper said.

He was charged with 10 counts of wire fraud, 39 counts of money laundering and six counts of tax evasion, among other charges.

The government says the former payroll company chairman pocketed $26.7 million in employees' federal withholding tax between October 2007 and April 2009.

PaySource Chief Executive Officer Charles Painter has already pleaded guilty to one count of helping to prepare a fraudulent tax return. He faces up to three years in prison and is set to be sentenced Dec. 16.

Attorney Howard Richshafer, a former IRS agent, said, "This sounds like a pretty egregious case.

"As the economy has gotten poorer since 2008, I've seen more and more companies having this sort of problem," he said.

Copyright 2010 United Press International, Inc. (UPI).

No votes yet