Jan. 22, 2013 - A Winston-Salem, North Carolina, man was sentenced in federal court today to 15 years, five months in prison for employment tax fraud.
Arthur S. Weiss was ordered to pay more than $7 million in restitution to numerous victims, including the Internal Revenue Service.
Weiss, who operated a payroll service, pleaded guilty in October to wire fraud, bank fraud and money laundering. From 2004 to 2012, his clients hired him to pay their employees and withhold taxes, but he failed to remit the taxes to the government. He failed to pay the IRS taxes in excess of $4 million.
According to court documents, Weiss used proceeds from his crimes to buy expensive jewelry and exotic cars. He fraudulently reported jewelry stolen and received $177,480 from his insurance company. The jewelry was later seized during a search of his former residence in Marion.
Copyright 2013 - News & Record, Greensboro, N.C.