Monica Morgan, the wife of former UAW Vice President General Holiefield, was sentenced to 18 months in prison for felony tax fraud, announced U.S. Attorney Matthew Schneider.
Morgan, 54, of Harrison Township, Michigan, pleaded guilty in February 2018 before United States District Judge Paul D. Borman. During her guilty plea, Morgan admitted to filing fraudulent tax returns, whereby she failed to report hundreds of thousands of dollars in income for the years 2011 through 2014. In total, Morgan failed to pay $190,747 in taxes owed.
Morgan is the wife of former UAW Vice President General Holiefield, who died in March of 2015. From 2010 to 2014, Holiefield was the director of the UAW Chrysler Department and acted as the lead negotiator and the lead administrator for the collective bargaining agreements between the UAW and FCA.
According to court records, Morgan owned and operated the companies Monica Morgan Photography and Wilson’s Diversified Products based in Detroit, Michigan. Morgan’s companies received hundreds of thousands of dollars from the UAW-Chrysler National Training Center during the years when Holiefield was a UAW Vice President. Morgan’s companies also received significant payments from Holiefield’s charity, known as the Leave the Light On Foundation.
Morgan’s various companies received hundreds of thousands of dollars in money funneled by FCA executives to Morgan and Holiefield, all in effort to keep UAW executives like Holiefield “fat, dumb, and happy.” At the hearing today, Morgan’s sentencing guidelines were enhanced based on the fact that the income she failed to report was the proceeds of criminal activity. In addition, her sentence was enhanced because Morgan used sophisticated means and shell companies in order to conceal her tax fraud.
The Court ordered Morgan to pay $190,747 in restitution to the U.S. Treasury Department. Morgan is the first defendant to be sentenced in the ongoing criminal investigation into illegal payoffs involving UAW officials and FCA executives.
U.S. Attorney Schneider commended the outstanding work of the Internal Revenue Service – Criminal Investigations, the U.S. Department of Labor – Office of Labor-Management Standards and Office of Inspector General, and the Federal Bureau of Investigation in conducting a comprehensive criminal investigation into labor corruption activities involving a vital sector of the local and national economy.
“Morgan was punished for cheating on her taxes and for helping to conceal hundreds of thousands of dollars in illegal payments from FCA executives to Morgan and her husband, General Holiefield, the former UAW Vice President in charge of the Chrysler Department,” stated United States Attorney Matthew Schneider. “The court’s sentence for Morgan vindicates the honest tax payers who pay their fair share of taxes.
Key Facts
- State: Michigan
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
