May 12, 2004
For Immediate Release
P R E S S R E L E A S E
A federal grand jury returned an eight count indictment charging GREGORY E. M. YUEN, M.D., a resident of Honolulu, Hawaii, with willfully failing to truthfully account for and pay over to the Internal Revenue Service, federal employment taxes withheld from employees wages. According to the indictment, the amounts not accounted for and paid over totaled $117,326.70 over eight quarterly periods ranging from the third quarter of 1998 to the third quarter of 2000.
Edward H. Kubo, Jr., United States Attorney for the District of Hawaii, said that according to the indictment, YUEN, who was the President, shareholder and an employee of his Sub-Chapter S Corporation, Gregory E. M. Yuen, M.D., Inc., deducted and collected federal income taxes and Federal Insurance Contributions Act taxes (that is, Social Security and Medicare) from his employees' wages but willfully failed to pay over to the Internal Revenue Service the federal income taxes and Federal Insurance Contributions Act taxes owed to the United States.
YUEN faces a maximum penalty of five years imprisonment and a $250,000 fine as to each count if convicted. Federal Sentencing Guidelines further determine any term of imprisonment. United States Attorney Kubo cautioned that an indictment is merely an accusation, and a defendant is presumed innocent unless and until proven guilty.
This indictment was a result of an investigation by the Internal Revenue
Service Criminal Investigation Division. The prosecution is being handled
by Assistant United States Attorney Leslie E. Osborne, Jr.
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