Thursday, June 27, 2013
United States Attorney Bill Nettles announced Monday that Ji Duan Fang, 35, of Hanahan, was sentenced in federal court in Charleston for Failure to Pay Employment Taxes and Harboring Illegal Aliens.
United States District Judge Richard Gergel of Charleston sentenced Fang to 12 months imprisonment, followed by six months in a community corrections center, and three years supervised release.
Evidence presented at the guilty plea hearing established that Fang owned and operated Jade China Buffet, a restaurant in North Charleston, and that he knowingly hired at least 14 illegal aliens to work at the restaurant.
From 2008 through 2011, Fang paid the illegal alien employees in cash and did not collect or pay employment taxes for these employees. He also harbored and transported the illegal aliens to and from his restaurant.
Fang’s failure to collect and pay the employment taxes for the illegal alien employees resulted in $212,225 in unpaid taxes.
“Employees have a right to expect their withheld employment taxes, which fund future benefits, will be paid by their employer, “ said Jeannine A. Hammett, Special Agent in Charge. “IRS-Criminal Investigation takes this type of offense seriously and will continue its efforts to protect employees by rooting out employers who violate the tax laws.”
Nettles said that “prosecuting tax fraud is a priority of the Justice Department, particularly in an era of trillion dollar deficits.”
The case was investigated by the Internal Revenue Service and the Department of Homeland Security. Assistant U.S. Attorney Rhett DeHart of the Charleston office prosecuted the case.