A Lake County man has been sentenced to 24 months in federal prison after a jury found him guilty of not paying employment taxes. Michael Roberts, 38, from Mentor, Ohio, was convicted of failing to account for and pay over taxes. According to the U.S. Attorney's Office, he was also ordered to pay restitution amounting to $322,718.56 and serve three years of supervised release post-incarceration.
Roberts was the executive director and co-owner of Progressive Alternatives, a company offering in-home care to individuals with developmental disabilities. Court documents revealed that payroll checks issued reflected correct employee withholdings, but the business failed to file W-2 forms or make quarterly tax payments. The issue came to light in 2017 when an employee nearing retirement discovered that payroll taxes had not been paid to the IRS.
Previously, Larry Keith Gildersleeve III, 43, also involved in the business and Roberts's spouse, faced a similar sentence for tax-related offenses. Gildersleeve pled guilty to eight counts of failure to pay over taxes and was ordered to serve 24 months in prison, as well as pay a significant restitution of $692,697.50.
The IRS-Criminal Investigation Division spearheaded the case against the duo, uncovering that while employee withholdings were accounted for in paycheck documents, necessary payments had never been made to the federal agency. The U.S. Attorney's Office brought the case to a close, with Assistant United States Attorneys Erica D. Barnhill and Brett S. Hammond leading the prosecution.
The IRS-CI, tasked with investigating financial crimes, including tax fraud, operates with a 90% federal conviction rate. Roberts' and Gildersleeve's convictions are a testament to the division's diligence in upholding tax laws and pursuing those who fail to meet their obligations.
