Greensboro woman sentenced to prison for tax evasion
GREENSBORO, N.C. – A Greensboro woman was sentenced to prison on Wednesday for tax crimes, according to a news release from the Department of Justice.
Cheryl Arrington White, 55, of Greensboro, North Carolina, was sentenced to 33 months in prison, followed by three years of supervised release, and ordered to pay $289,172 in restitution to the Internal Revenue Service for tax evasion.
According to court documents and court proceedings, White operated White’s Accounting, PA, from her house in Greensboro. White earned money for providing bookkeeping and payroll services to multiple clients located throughout the Middle District of North Carolina.
One such client who operated a restaurant and hospitality facility in Surry County received information that White had embezzled from another client and, based on this information, started reviewing their bank statements and cancelled checks online.
In doing so, the client found that White was also embezzling from their company, the release said.
White utilized three separate methods to embezzle funds. White would write herself additional payroll check and paid personal expenses in her name and spouse’s name using the clients business checking account, forging the business owners’ signatures on those checks.
White also paid her children as employees of the client.
White was found to have embezzled from at least two other companies. White cashed and/or deposited these fraudulent checks into her or her children’s personal checking accounts.
White admitted to investigators embezzling approximately $1,000,000 from her clients, the release said. White told investigators that she only calculated her Schedule C income by using figures derived from printing the vendor reports for her accounting business. For the calendar years 2010 through 2014, it was found that White failed to report to the Internal Revenue Service $969,157.91 of income.
The total tax loss in this case is $289,172.