Iowa businessman Darrell Smith, 60, has pleaded guilty to failing to pay employment taxes, a federal crime that could land him behind bars for up to five years.
According to court records, Smith, the owner of Permeate Refining Inc., an ethanol-production business in Hopkinton, Iowa, failed to collect, truthfully account for, and pay federal employment taxes withheld from the wages of his employees.
Specifically, Smith admitted to collecting and willfully failing to account for and pay over to the IRS $85,267 for the second quarter of 2012.
The case against Smith was investigated by special agents of IRS-Criminal Investigation, the FBI, the U.S. Postal Inspection Service, and the U.S. Environmental Protection Agency.
Smith’s co-defendant, Randy Less, pleaded guilty on June 14 to failing to pay employment taxes and violating the Clean Water Act.
Acting Assistant Attorney General Caroline D. Ciraolo and U.S. Attorney Kevin W. Techau praised the law enforcement agencies involved in the case, saying their efforts will continue to hold employers accountable for their tax obligations.
Smith is set to be sentenced at a later date, where he faces a statutory maximum sentence of five years in prison, as well as a term of supervised release and monetary penalties.
Related Federal Cases
- Darrell Smith, Failing to Pay Employment Taxes, Iowa 2017 · Iowa
- Harold Schaefer, Insurance Fraud, Iowa 2022 · Missouri
- Tommy F. Keaton, Employment of Unauthorized Workers, Kansas 2023 · Iowa
- Bettendorf Woman, Healthcare Benefits Scam, Iowa 2024 · Hawaii
- David Emerson Smith, Conspiracy to Obstruct Justice, Idaho 2024 · Iowa
Key Facts
- State: Iowa
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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