Hornell restaurant owner sentenced to probation, ordered to pay back IRS in tax case
A former Hornell restaurant owner will serve two years probation and six months home detention for reporting false employee wages information to the U.S. government.
Theodore LaFrance, the owner of T&J Country Kitchen restaurant, was also ordered by Chief U.S. District Judge Elizabeth A. Wolford during sentencing this month to pay $36,040 in restitution to the IRS.
LaFrance pleaded guilty to a federal tax charge last September. He potentially faced a maximum penalty of three years in prison and a $100,000 fine.
Assistant U.S. Attorney Meghan K. McGuire said LaFrance did not report some $235,500 paid to cooking and cleaning staff at the 7423 Seneca Road North restaurant, costing the IRS about $36,000.
According to Western District of New York prosecutors, from 2014-2018, LaFrance provided incorrect information about employee wages to Staff Leasing Inc., including omitting wages that were paid in cash.
As a result, the government said Staff Leasing Inc. — which the business hired to provide payroll services for the restaurant — used the false information to complete and file quarterly Form 941 on behalf of the restaurant.
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Federal officials said LaFrance's plea and sentencing followed an investigation by the IRS Criminal Investigation Division.
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This article originally appeared on The Evening Tribune: Hornell restaurant owner sentenced to probation in federal tax case
