Charlotte Man Charged With Tax Evasion For Using Shell Companies To Hide Income
CHARLOTTE, N.C. – A criminal bill of information was filed today in federal court charging Chris Yung Le, 63, of Charlotte, with tax evasion, for using shell companies to hide his and others’ income, announced Jill Westmoreland Rose, Acting U.S. Attorney for the Western District of North Carolina.
Thomas J. Holloman III, Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division (IRS-CI) joins Acting U.S. Attorney Rose in making today’s announcement.
According to filed court documents, Le was the owner and operator of two companies, Columbia General Services Corp. (Columbia General) and Comprehensive Administrative Services Corp. (CAS). Court documents show that Le maintained separate bank accounts for each company, but had listed for both businesses the same address as his Charlotte residence. According to documents filed with the court, from about 2007 to about 2013, the two companies primarily served as shell entities for income generated by other businesses, and Le used the companies’ bank accounts to conceal his and other individuals’ personal earnings from the IRS. Court records reflect a series of bank transactions Le conducted in order to hide personal income. Also, court records indicate that Le did not report income of at least $469,000 on his personal tax returns for tax year 2013. The additional tax due on this unreported income is approximately $131,322.
A signed plea agreement was also filed today and Chris Le is expected to appear before a U.S. Magistrate Judge in the coming days to formally accept the plea. The tax evasion charge carries a maximum penalty of five years in prison and a $100,000 fine. As part of his plea agreement, Chris Le has agreed to pay restitution, the amount of which will be determined by the Court.
In a related prosecution, Mark Tuan Le, an internal medicine physician and former owner of Northcross Medical Center, previously pleaded guilty to health care fraud conspiracy in connection with a healthcare fraud scheme that billed health insurers for services that were not provided, and for evading over $800,000 in taxes in 2009 and 2010 by funneling money to companies and bank accounts controlled by Mark Le and others. In parallel civil proceedings, Mark Le has also agreed to pay $6.2 million to the United States to settle related civil fraud allegations. Mark Le currently awaits sentencing.
The investigation into Chris Le was handled IRS-CI. The criminal prosecution is handled by Assistant U.S. Attorney Kelli Ferry.