September 28, 2011

GREENEVILLE, Tenn.-- Danny Dwain Moore, 56, of Unicoi, Tenn., waived indictment and pleaded guilty in the U.S. District Court for the Eastern District of Tennessee at Greeneville, to willfully making a false federal income tax return. Sentencing has been set for March 19, 2012, at 1:30 p.m., in U.S. District Court in Greeneville.

Moore faces a term of up to three years in prison, fines of up to $250,000, and restitution of over $840,000. He was released pending sentencing.

As set out in his plea agreement, Moore has been licensed as a veterinarian in Tennessee since 1980. After maintaining two traditional veterinary clinics for a number of years, Moore sold those practices in the mid-1990s to focus on multi-level marketing and on-line business ventures. After his first venture became less profitable in the early 2000s, Moore began a second business venture, The Natural Vet® also known as The Natural Horse Vet and The Natural Pet Vet, an on-line business specializing in the sale of natural holistic veterinary products for horses and pets. Unlike the first venture, The Natural Vet proved to be highly profitable, with annual credit card sales through the business exceeding $1.5 million by 2007.

After filing frivolous trust returns for tax years 2001 and 2002 listing no tax liability and filing no individual income tax returns for those years, Moore did not file any individual income tax returns for tax years 2003 and 2004.

Beginning with his 2005 individual income tax return, Moore began filing false joint returns omitting all his business income. Moore filed similar false returns for tax years 2006, 2007, and 2008. He intentionally omitted reporting any income from his business, The Natural Vet, and signed the returns listing his occupation as “American Citizen.” In fact, Moore’s gross income for the four years totaled over $1.9 million.

U.S. Attorney Bill Killian said, “Professionals and highly educated people, like Dr. Moore, certainly know of their obligation to pay federal income taxes like every other citizen . The rules apply to everyone. This conviction should deter others who are considering cheating the Internal Revenue Service and the country out of their fair share of tax payments.”

"The Internal Revenue Service's largest enforcement program is directed at the portion of American citizens who intentionally violate their known legal duty to pay their fair share of taxes. Those taxpayers who choose to do the right thing should be assured that the system works and justice will be done. No one is above the law," stated Christopher Pikelis, Special Agent in Charge, IRS Criminal Investigation-Nashville Field Office.

The charges were the result of an investigation by the Internal Revenue Service-Criminal Investigation Assistant United States Attorney Neil Smith represents the United States.