Employment agency owner gets 2 years' prison for tax scheme
Jan. 10, 2018
BOSTON (AP) — An employment agency owner has been sentenced to spend two years in federal prison, after acknowledging she failed to pay taxes on approximately $4.3 million in wages.
The U.S. attorney's office in Boston says 48-year-old Souleang Kane, of Providence, Rhode Island, ran several temporary staffing agencies that supplied agricultural workers in Massachusetts.
It says she withheld federal taxes from the workers, but she never reported their wages to the Internal Revenue Service, and never paid the taxes.
Prosecutors say she evaded paying more than $1.3 million in federal taxes and more than $431,000 in Massachusetts state taxes.
Kane previously pleaded guilty to willful failure to collect and pay taxes, as well as mail fraud.
They say she also underpaid her workers' compensation insurance premiums.