FOR IMMEDIATE RELEASE
June 9, 2011
Fayetteville - Conner Eldridge, United States Attorney for the Western District of Arkansas, announced today that TODD RICHARD SIMPSON, 46, of Fayetteville, Arkansas, has been sentenced by United States Chief District Court Judge Jimm L. Hendren to serve 30 months in prison, followed by three years of supervised release. Judge Hendren also ordered SIMPSON to pay $812,221.23 restitution to the Internal Revenue Service and a $10,000.00 fine.
Simpson was indicted on November 4, 2009, charged with one count of Willful Attempt to Evade and Defeat the Payment of Income Tax due and owing for the calendar years 1998, 1999, 2000 and 2001. He pled guilty on March 28, 2011.
According to the factual basis included in the filed plea agreement, SIMPSON, a medical physician since 1994, was selected for an audit after he was identified as a taxpayer who had participated in an abusive tax shelter. The audit determined that Simpson owed a substantial amount of tax for tax years 1998 through 2001. Simpson admitted that during the audit process he began moving personal assets into the name of a Subchapter S corporation named Richlynn Enterprises for the purpose of sheltering his assets from collection by the IRS. Simpson also admitted that he provided false information to the IRS on a collection information statement in an effort to thwart collection efforts.
This case was investigated by the IRS Criminal Investigation. First Assistant U.S. Attorney Wendy L. Johnson represented the government.