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FOR IMMEDIATE RELEASE |
Tuesday, Sept. 6, 2007
INDICTMENT SAYS KANSAS MAN DIDN’T PAY TAXES ON MONEY STOLEN FROM TOPEKA NON-PROFIT
Other indictments by federal grand jury: Environmental violations,
drug trafficking, immigration violations
TOPEKA, KAN. – Michael W. Slayton, 48, Tecumseh, Kan., is charged with three counts of tax evasion, three counts of failure to account for and pay withholding and F.I.C.A taxes, and three counts of filing false federal tax returns. The crimes are alleged to have occurred at various times in 2002, 2003 and 2004 in Shawnee County, Kan.
According to the indictment:
From 1999 through 2004 Slayton embezzled $238,097 from Designs 4 Life, a non-profit corporation in Topeka that was created to assist families requiring in-home care providers for special-needs individuals. The company acted as a Medicaid billing agent and a payroll agent for care providers. Slayton was the co-founder and director of operations, controlling all the company’s financial matters.
Slayton and his company billed Medicaid for care providers’ services, and then paid the money out to the providers, minus a percentage as administrative costs.
Slayton issued Form W-2 statements for himself that failed to include the amount he embezzled. He would have owed $44,478.10 in taxes on the embezzled amount.
To conceal his embezzlement, Slayton provided false information on Form 941 Federal Quarterly Employment Tax Returns, which report the total wages and employment taxes to be withheld by an employer and paid to the Internal Revenue Service. He under-reported $115,856 in employment taxes and failed to pay $194,405 in employment taxes.
Upon conviction, the alleged crimes carry the following penalties:
– Tax evasion: A maximum penalty of 5 years in federal prison and a fine up to $250,000 on each count.
– Failure to account for and pay withholding and FICA taxes: A maximum penalty of 5 years in federal prison and a fine up to $250,000 on each count.
– False tax returns: A maximum penalty of 3 years in federal prison and a fine up to $250,000 on each count.
The Internal Revenue Service investigated. Assistant U.S. Attorney Christine Kenney is prosecuting.
OTHER INDICTMENTS
A grand jury meeting in Topeka Wednesday also returned the following indictments:
David Moeller, 50, Oskaloosa, Kan., and his company, Midwest Surplus Inc. of Lawrence and Topeka, are charged with one count of unlawfully storing hazardous waste, one count of unlawfully transporting hazardous waste and one count of unlawfully treating hazardous waste in violation of the Resource Conservation and Recovery Act.
According to the indictment, Moeller was the owner and operator of Midwest Surplus Group, which conducted business at 1235 N. 3rd Street in Lawrence, Kan., and 7515 SW Topeka Boulevard in Topeka, Kan.
In June 2006, inspectors for the Kansas Department of Health and Environment found that the company was storing containers of waste paint and stain without a permit. KDHE notified the company it was not in compliance with state and federal laws on the handling of hazardous waste and set a deadline for the company to come into compliance. KDHE extended the deadline six times at Moeller’s request.
In April 2007, agents of the Environmental Protection Agency served search warrants at the company’s facility in Lawrence and its warehouse in Topeka. They found a large quantity of hazardous waste that was being treated and stored at both locations.
If convicted, Moeller faces a maximum penalty of 5 years in federal prison and a fine up to $250,000 on each count. The Environmental Protection Agency investigated. Special Assistant U.S. Attorney Ray Bosch and Assistant U.S. Attorney Christine Kenney are prosecuting.
Joel Leobardo Martinez, 23; and Karen M. Hernandez-Lopez, 19, are charged with one count of conspiracy to distribute 47 kilograms (more than 103 pounds) of cocaine and one count of possession with intent to distribute 47 kilograms of cocaine. The crimes are alleged to have occurred on or about Aug. 17, 2007, in Riley County, Kan.
If convicted, they face a penalty of not less than 10 years and not more than life and a fine up to $4 million on each count. The Drug Enforcement Administration investigated. Special Assistant U.S. Attorney Jason Coody is prosecuting.
Christian Jerrardo Cortez-Garcia, 23, is charged with unlawfully re-entering the United States after being deported. He was found July 23, 2007, in Shawnee County, Kan.
If convicted, he faces a maximum penalty of 10 years in federal prison and a fine up to $250,000. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Randy Hendershot is prosecuting.
Indelfonso Vasquez-Martinez, 35, Winfield, Kan.; and Noel Dejesus-Vasquez, 23, Topeka, Kan., are charged with one count of conspiracy to possess with intent to distribute more than 500 grams of methamphetamine, one count of possession with intent to distribute 27.9 grams of methamphetamine, one count of possession with intent to distribute 26.8 grams of methamphetamine, one count of possession with intent to distribute 26.7 grams of methamphetamine, one count of possession with intent to distribute 26.6 grams of methamphetamine, and one count of possession with intent to distribute 56 grams of methamphetamine. The crimes are alleged to have occurred at various times from March 19, 2007, through June 14, 2007, in Shawnee County, Kan.
Upon conviction, the alleged crimes carry the following penalties:
Conspiracy: Not less than 10 years and not more than life and a fine up to $4 million.
Possession with intent to distribute 56 grams of methamphetamine: Not less than 10 years and not more than life and a fine up to $4 million.
All other counts of possession with intent to distribute methamphetamine: Not less than 5 years and not more than 40 years and a fine up to $2 million on each count.
The Drug Enforcement Administration investigated. Assistant U.S. Attorney Greg Hough is prosecuting.
Steven Douglas Shumaker, 52, Salina, Kan.; Jeffrey Wayne Miller, 36, Salina, Kan.; and Tammy Sue Harris, 48, Salina, Kan.; are charged with one count of conspiracy to distribute more than 50 grams of methamphetamine.
In addition, Shumaker is charged with two counts of using a telephone in furtherance of drug trafficking, one count of possession with intent to distribute 114 grams of methamphetamine, one count of possession with intent to distribute marijuana; and one count of possession with intent to distribute 112 grams of methamphetamine.
Miller is charged with maintaining a residence in furtherance of drug trafficking at 923 Cedar Street in Salina and one count of possession with intent to distribute 112 grams of methamphetamine.
The crimes are alleged to have occurred at various times from Aug. 17, 2007, to Aug. 24, 2007, in Saline County, Kan.
Upon conviction, the crimes carry the following penalties:
– Conspiracy: Not less than 10 years and not more than life in federal prison and a fine up to $4 million.
– Possession with intent to distribute methamphetamine. Not less than 10 years and not more than life in federal prison and a fine up to $4 million.
– Using a telephone in furtherance of drug trafficking: A maximum penalty of 4 years in federal prison and a fine up to $250,000.
– Maintaining a residence in furtherance of drug trafficking: A maximum penalty of 20 years in federal prison and a fine up to $500,000.
The Kansas Bureau of Investigation worked on the case. Special Assistant U.S. Attorney Jason Coody is prosecuting.
Abel Amado-Marcelino, 20, who is not a United States citizen, is charged with unlawfully entering the United States from Mexico at a point near Nogales. The crime is alleged to have occurred in October 2006.
If convicted, he faces a maximum penalty of 2 years in federal prison and a fine up to $250,000. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Greg Hough is prosecuting.
Maria Ana Zaragoza-Perez, 34, who is not a United States citizen, is charged with unlawfully entering the United States from Mexico at a point near Brownsville, Texas. The crime is alleged to have occurred in March 2005.
If convicted, she faces a maximum penalty of 2 years in federal prison and a fine up to $250,000. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Greg Hough is prosecuting.
Delfino Encarnacion-Olivera, 23, who is not a United States Citizen, is charged with unlawfully entering the United States at a point near Douglas, Ariz. The crime is alleged to have occurred in August 2006.
If convicted, he faces a maximum penalty of 2 years in federal prison and a fine up to $250,000. Immigration and Customs Enforcement investigated. Assistant U.S. Attorney Greg Hough is prosecuting.
As in any criminal case, a person is presumed innocent until and unless proven guilty. The indictments filed merely contain allegations of criminal conduct.
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