O'FALLON MAN FOUND GUILTY OF WILLFUL FAILURE TO FILE INCOME TAX RETURNS
Kennedy M. Russell, Sr., 72, of O'Fallon, was found guilty on April 27, 2011, in United States District court in East St. Louis by a jury’s verdict following a three-day trial on five counts of Willful Failure to File an Income Tax Return for the tax years 2004 through 2008, Stephen R. Wigginton, the United States Attorney for the Southern District of Illinois, announced today.
“Fairness to all of the lawful tax-paying citizens of Southern Illinois demands that tax scofflaws like Russell be brought to justice,” United States Attorney Wigginton noted.
Specifically, Russell testified at trial that he believed he was not subject to federal income tax, even though he had substantial earnings from his court reporting service business. The five offenses each have a maximum potential sentence of up to one year of imprisonment, a $25,000 fine, the costs of prosecution, restitution of tax due and owing in the approximate amount of $109,000, and also up to three years of supervised release. A sentence will be imposed by the Court after a presentence report is prepared. Russell’s sentencing hearing is currently scheduled for August 12, 2011, at 9:00 a.m. in East St. Louis.
“The prosecution of individuals who intentionally evade taxes is a vital element in maintaining public confidence in our tax system. We should not expect the honest taxpayer to foot the bill for those who willfully refuse to file income tax returns and pay the taxes owed”, said IRS Criminal Investigation Division, Special Agent in Charge, Al Patton.
The investigation into the case was led by agents of the Internal Revenue Service-Criminal Investigation and Treasury Inspector General for Tax Administration.
The case was prosecuted by Assistant United States Attorney Michael J. Quinley.