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Press Release

Memphis Man Pleads Guilty to Obstructing The IRS

For Immediate Release
U.S. Attorney's Office, Western District of Tennessee

Memphis, TN – A Memphis man has pleaded guilty to obstructing the Internal Revenue Service ("IRS"). Lawrence J. Laurenzi, Acting U.S. Attorney for the Western District of Tennessee, announced the guilty plea today.

According to the indictment, Cedric Zimbalist Chism was the former owner and operator of a security guard service, Memphis Security of Tennessee, Inc. ("MSOFT").MSOFT had contracts for services with various businesses throughout the Western District of Tennessee in Memphis. Chism attempted to impede and evade payment and reporting of employment taxes to the IRS from 1999 through 2011. Chism, personally and as owner and operator of MSOFT, owed $1,688,473.45 with a tax loss to the IRS of $854,144.39.

This charge carries a penalty of up to 36 months in federal prison and a fine of $5,000.00. The sentencing hearing is set for July 1, 2017.

The case was investigated by the United States Internal Revenue Service. Assistant U.S. Attorney Damon Keith Griffin is prosecuting this case on the government’s behalf.

Updated March 28, 2017