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Justice News

Department of Justice
U.S. Attorney’s Office
District of Virgin Islands

Tuesday, January 7, 2014

Rodney Miller Sentenced To 21 Months In Prison For Tax Fraud

St. Thomas, USVI B District Court Judge Curtis V. Gomez today sentenced Rodney E. Miller, Sr., former Chief Executive Officer of Schneider Regional Medical Center, to 21 months in federal prison for income tax fraud, announced United States Attorney Ronald W. Sharpe and Internal Revenue Service Special Agent in Charge Jose A. Gonzalez.

Miller, 41, was remanded to the custody of the United States Marshals Service to begin serving his sentence at the conclusion of today’s hearing. In addition to the prison sentence, Judge Gomez ordered Miller to serve one year of supervised release upon completion of his prison sentence, and pay $86,798 in restitution to the Virgin Islands Bureau of Internal Revenue.

According to the evidence presented at trial, in 2006 Miller received taxable income and compensation from his position as CEO of Schneider Regional Medical Center in the amount of $510,947. The evidence further showed that Miller had funds directed to several bank accounts. When he filed his 2006 income tax return, Miller only reported income in the amount of $265,198, and a tax owing of $39,810. However, based on his true income for 2006 ($510,947) Miller’s tax liability was actually $126, 608, more than three times what he claimed he owed on his 2006 return.

“Individuals who evade taxes and commit tax fraud undermine the integrity and fairness of the income tax collection system,” U.S. Attorney Sharpe said. “With the assistance of the Internal Revenue Service and our partners at the Virgin Islands Bureau of Internal Revenue, tax cheats in the Virgin Islands will be vigorously investigated and prosecuted.”

“Today, justice is served, as Miller is being held accountable for intentionally violating his responsibility to pay his fair share of taxes to the VI BIR as mandated by law,” Special Agent in Charge Gonzalez said.

The case was investigated by the Internal Revenue Service, Criminal Investigation Division, and prosecuted by Assistant United States Attorney Kim L. Chisholm.

Updated June 22, 2015