OFFICE OF THE UNITED STATES ATTORNEY
WESTERN DISTRICT OF MISSOURI
Contact Don Ledford, Public Affairs ● (816) 426-4220 ● 400 East Ninth Street, Room 5510 ● Kansas City, MO 64106
JANUARY 13, 2010
FOR IMMEDIATE RELEASE
BRANSON MAN PLEADS GUILTY TO $1.8 MILLION
TAX EVASION CONSPIRACY
SPRINGFIELD, Mo. – Beth Phillips, United States Attorney for the Western District of Missouri, announced that a Branson, Mo., business owner pleaded guilty in federal court today to his role in a $1.8 million tax evasion conspiracy.
David D. Large, 51, of Branson, pleaded guilty before U.S. Magistrate Judge James C. England this morning to the charge contained in an Aug. 5, 2009, federal indictment.
Large was a partner in a travel club business originally named Vacation Travel Outlet, and later named Vacation Service of America, from 2000 through 2004. Large was the sales manager and one of the chief salesmen for the business, which sold travel club memberships that claimed to offer discounted travel prices, including savings on airfare, cruises, hotels, golfing, rental cars and condominiums.
Large admitted that he did not file income tax returns with the IRS for tax years 2000 through 2004. Large and his co-conspirators attempted to conceal $1,803,728 in income from the Internal Revenue Service.
To evade assessment of income taxes, Large and his co-conspirators received their distribution of profits from their ownership interests in Vacation Travel Outlet in the form of withdrawals and checks drawn off of the Vacation Travel Outlet bank account and made payable to “cash.” Conspirators or their spouses deposited the checks into their individual bank accounts or cashed them at the banks. Large and his co-conspirators also received officer compensation from Vacation Service of America.
Large also admitted that he and his co-conspirators conducted structured currency transactions during the negotiation of some of the checks or withdrawals at their banks, so that the activity would not trigger a Currency Transaction Report, which is a report prepared by a bank or other financial institution that is required under federal law for certain financial transactions.
For example, Large admitted that he engaged in such structuring activity on March 29 and 30, 2004, when he negotiated a total of $12,000 in currency transactions on three separate occasions at a financial institution. Large also admitted that he engaged in such structuring activity on September 1-3, 2004, when he negotiated a total of $12,000 in currency transactions on three separate occasions at a financial institution. In each case, a series of transactions was conducted in amounts less than $10,000 in order to avoid having a Currency Transaction Report sent to the U.S. Department of Treasury.
Large and his co-conspirators failed to prepare Forms W-2 and Forms 1099 with the IRS to report the earnings of their employees and salespersons, including their spouses’ earnings, for the years 2000, 2001, 2002, and 2003. Conspirators failed to prepare Forms 1099 with the IRS to report the earnings of Vacation Service of America salespersons, including their spouses’ earnings, for the year 2004.
By pleading guilty today, Large also agreed to pay restitution to the IRS, which represents the federal income taxes that he failed to pay for tax years 2000 through 2004, as well as any interest and penalties that may be owed to the IRS. Under federal statutes, Large is subject to a sentence of up to five years in federal prison without parole, plus a fine up to $250,000. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Randall D. Eggert. It was investigated by IRS-Criminal Investigation.
This news release, as well as additional information about the office of the United States Attorney for the Western District of Missouri, is available on-line at