Harrisburg Business Owner Sentenced to Prison for Employment Tax Fraud

Prison© Photos597 / Getty Images Pro / Canva

HARRISBURG, PA — Sam Xen Duong, 49, of Harrisburg, Pennsylvania, was sentenced to one year in prison on December 14, 2023, by U.S. District Court Judge Sylvia H. Rambo. The sentence is for failing to withhold and pay employment taxes. Duong will also face a one-year term of supervised release following his imprisonment and has been ordered to pay over $1.5 million in restitution.

According to U.S. Attorney Gerard M. Karam, Duong admitted to not paying employment taxes for two companies he either owned or co-owned from 2012 to 2018. The companies, BCS, Inc., and ETS, Inc., both located in Harrisburg, provided temporary workers to other businesses.

Duong extended his fraudulent scheme by often paying employees in cash and submitting false forms to the Internal Revenue Service (IRS), keeping the true nature of his activities hidden.

The case was investigated by the IRS’s Criminal Investigation unit, with Assistant U.S. Attorney Carlo D. Marchioli leading the prosecution.

For the latest news on everything happening in Chester County and the surrounding area, be sure to follow MyChesCo on Google News and MSN.

READ:  Jealous Rage Ends in Murder: Pennsylvania Man Guilty of Killing Ex-Girlfriend