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Justice News

Department of Justice
U.S. Attorney’s Office
Southern District of West Virginia

FOR IMMEDIATE RELEASE
Wednesday, June 1, 2016

Former McDowell County Assistant Prosecutor sentenced to prison for Federal tax crime

BECKLEY, W.Va. – A former McDowell County Assistant Prosecuting Attorney was sentenced today to a year and a half in federal prison for his conduct related to a federal tax crime, announced Acting United States Attorney Carol Casto. Jason Ray Grubb, 38, of Beaver, previously pleaded guilty for failing to collect, account for, and pay employment taxes.

Grubb admitted that while working as a lawyer in private practice he withheld payroll taxes from the paychecks of an employee. Instead of withholding and paying those taxes as required under federal law, he kept the money and did not pay the Internal Revenue Service. Grubb also admitted that he failed to pay personal income taxes for a number of years, and that he falsified vouchers sent to West Virginia Public Defender Services, including 51 days on which he billed for over 24 hours of work.                

The Court further required Grubb to pay restitution for his failure to pay over $247,000 in federal taxes, overbilling Public Defender Services more than $126,000, and not paying a financing company, Daniels Capital Corporation, for more than $27,000 in advances.

This case was investigated by the Internal Revenue Service’s Criminal Investigation division and the West Virginia Commission on Special Investigations. Assistant United States Attorneys Meredith George Thomas and Eric Bacaj handled the prosecution. United States District Judge Irene C. Berger imposed the sentence.

Topic(s): 
Tax
Updated June 1, 2016