Former Owner of Physical Therapy Businesses Pleads Guilty To Failing To Pay Employment Taxes
ALEXANDRIA, Va. – Tony Thanh Ngo, 41, of Houston, Texas, pleaded guilty today to failing to pay employment taxes to the Internal Revenue Service (IRS). From 2003 to 2007, Ngo owned and operated the Center for Physical Therapy and Wellness and Core Physical Therapy, two physical therapy businesses in northern Virginia.
Neil H. MacBride, United States Attorney for the Eastern District of Virginia, Kathryn Keneally, Assistant Attorney General for the Justice Department’s Tax Division, and Richard A. Raven, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation, made the announcement after the plea was accepted by United States District Judge Claude M. Hilton.
In a statement of facts filed with his plea agreement, Ngo admitted to failing to account for and pay over to the IRS in excess of $300,000 in employment taxes due in connection with the wages paid to employees of his physical therapy businesses. Over $200,000 of this amount was withheld from his employees’ pay, but not paid over to the IRS as required. Rather than paying the employment taxes due and owing, Ngo admitted to using available funds for personal mortgage payments, golf club memberships, and travel. Ngo also admitted to filing false quarterly employment tax returns for Core Physical Therapy and a false individual income tax return for himself and his spouse.
Ngo faces a maximum penalty of five years in prison when he is sentenced on October 26, 2012.
This case was investigated by IRS Criminal Investigation. Assistant United States Attorney Paul J. Nathanson and Tax Division Trial Attorney Todd A. Ellinwood are prosecuting the case on behalf of the United States.A copy of this press release may be found on the website of the United States Attorney's Office for the Eastern District of Virginia at http://www.justice.gov/usao/vae. Related court documents and information may be found on the website of the District Court for the Eastern District of Virginia at http://www.vaed.uscourts.gov or on https://pcl.uscourts.gov.