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Security Firm Owner Sentenced for Tax Crimes
A local businessman’s lucrative security firm has turned into a costly venture for one Greenbrier County man. Brandon J. Black, 32, of Rainelle, pleaded guilty to a federal tax crime, admitting to withholding over $400,000 from employee paychecks and failing to pay the IRS.
Black’s private security business, initially known as Professional Security Services, rebranded as CLB Security in 2014. The company provided services to businesses and individuals throughout West Virginia. According to court documents, Black was responsible for collecting, accounting for, and paying over federal income taxes and Social Security and Medicare taxes withheld from employee wages.
However, Black’s business dealings took a dark turn when he failed to pay over the withheld funds to the IRS. Between January 2010 and June 2015, Black withheld over $400,000 from employee paychecks and failed to remit the money to the IRS. He also failed to pay over more than $230,000 for his share of additional taxes as an employer. The total tax loss for his criminal conduct is estimated at over $630,000.
Black faces up to five years in federal prison and a fine of up to $250,000 when he is sentenced on February 8, 2017. The case was investigated by agents of the IRS – Criminal Investigation Division, the FBI, and the West Virginia Office of the Insurance Commissioner – Fraud Unit. Assistant United States Attorney Eric Bacaj is handling the prosecution.
The plea hearing was held before United States District Judge Irene C. Berger. Black’s actions have left a trail of financial devastation for the employees who worked for him, highlighting the importance of holding business owners accountable for their actions.
Black’s case serves as a reminder that tax crimes can have severe consequences, both financially and personally. As the investigation unfolds, it remains to be seen how the community will react to this high-profile case. In the meantime, it is essential to hold individuals like Black accountable for their actions, ensuring that justice is served and the tax system remains fair and transparent.
Key Facts
- State: West Virginia
- Category: White Collar Crime|Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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