Related Federal Cases
- Don F. Lindner Pleads Guilty to Filing Fraudulent Tax Returns, Balt… · Maryland
- Ex-Con Peddled AR-15 Parts, Maryland, 2023 · Alabama
- Vivek Ramaswamy, Politician Snubs VP Slot, Washington DC, 2024 · Washington
- Vivek Ramaswamy Declines VP Offer, Politicizing Private Sector, US,… · Washington
- US Officials Charged with Obstruction of Justice, Washington DC, 2023 · Washington
Harshe Shende, 57, Sentenced to 15 Months in Federal Prison for Tax Evasion
Baltimore, MD – In a shocking turn of events, Harshe Shende, the owner of Progressive Rehab Services, LLC, was sentenced to 15 months in federal prison for willfully failing to pay over $1.69 million in federal employment and employer taxes.
According to court documents, Shende, 57, of Hanover, Maryland, was the sole owner and resident agent of Progressive Rehab Services, LLC, which employed physical and occupational therapists who provided services to patients in nursing homes.
Shende was found guilty of willfully failing to pay employment taxes to the IRS, which resulted in a total of $1,690,000 in unpaid taxes. He was also ordered to pay restitution in the same amount to the IRS.
As detailed in his plea agreement, Shende accrued large liabilities for Progressive Rehab by filing forms with the IRS that showed the amount of income tax withholding he collected from employees, but failed to pay the employment taxes to the IRS.
The IRS pursued collection activities against Progressive Rehab, and Shende admitted to causing Progressive Rehab’s employees to perform the same work, but billed for their work using the name Progressive Health and paid their salaries using Progressive Health’s bank account.
Acting United States Attorney Jonathan F. Lenzner commended the IRS-CI for its work in the investigation, and thanked Assistant U.S. Attorney Joyce K. McDonald for prosecuting the case.
Shende’s sentence was imposed by Chief U.S. District Judge James K. Bredar on July 23, 2021, and he will serve 15 months in federal prison, followed by two years of supervised release.
The case highlights the importance of paying taxes and the severe consequences of tax evasion. Shende’s actions not only harmed the IRS but also put his employees and the economy at risk.
The case is a reminder that tax evasion will not be tolerated, and those who engage in such activities will be held accountable.
Key Facts
- State: Maryland
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
