U.S. Attorney's Office for the District of Connecticut issued the following announcement on Jan. 6.
John H. Durham, United States Attorney for the District of Connecticut, announced that THERESA FOREMAN, 58, of St. Cloud, Florida, formerly of Madison, Connecticut, was sentenced today by U.S. District Judge Victor A. Bolden in Bridgeport to 12 months and one day of imprisonment, followed by three years of supervised release, for a wide-ranging tax evasion scheme.
According to court documents and statements made in court, Foreman operated Equinox Home Care, LLC, a home healthcare staffing agency based in Stratford, Connecticut. Beginning as early as 2012, Foreman took money out of the company by depositing or cashing, and causing to be deposited or cashed, checks written to individuals who did not actually work for Equinox Home Care. Between May 2012 and December 2013, approximately $413,000 in payroll checks to these “ghost employees” were deposited into accounts controlled by Foreman’s brother. During the same period, approximately $465,000 was withdrawn from the accounts in cash, cash back from deposits, or checks payable to Foreman. Foreman also had employees cash company checks and return the funds to her, and she cashed or caused to be cashed mileage reimbursement checks made out to other individuals and used the funds for her own benefit.
The investigation also revealed that between August 2014 and November 2015, Foreman made or caused to be made 101 cash deposits totaling $580,580 to a bank account in a family member’s name.
Foreman failed to report the amounts that she received through this scheme on her federal tax returns for 2012, 2013, and 2014. Foreman also owed tax for the 2010 and 2011 tax years and, on a statement submitted to the IRS in March 2013, provided false information about her income and assets. On the statement, Foreman falsely indicated that she had no monthly income. She also failed to declare ownership of a property in Saint Cloud, Florida, which she had purchased jointly with her brother in March 2012; failed to declare a bank account held in the name of her adult son, but which she controlled and used; and failed to declare recent purchases of a 2012 Chevrolet Corvette and a 2013 Cadillac Escalade.
Foreman’s conduct for the 2010 through 2014 tax years resulted in a loss of $641,941.46 to the Internal Revenue Service. Judge Bolden ordered Foreman to pay all back taxes, plus penalties and interest.
On March 4, 2019, Foreman pleaded guilty to one count of tax evasion.
Foreman, who is released on a $10,000 bond, is required to report to prison on February 28, 2020.
This matter was investigated by the Internal Revenue Service – Criminal Investigation Division. The case was prosecuted by Assistant U.S. Attorneys Peter S. Jongbloed and Jennifer R. Laraia.
Original source can be found here.
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