Nursing Home Owner Fined $5.8 Million and Sentenced to Prison for Tax Evasion

admin | March 8, 2011 | View Comments

A federal Judge sentenced Jeffrey Phillips, 41, to three and a half years and prison ordered him to pay $5.8 million in restitution for not paying payroll taxes.

Phillips, owned and managed nursing homes, provided nursing home staff, and provided in-home care services and failed to pay $4.7 million in payroll taxes he did not tender to the Internal Revenue Service

He pleaded guilty previously to one count of failure to pay employment taxes from 2001 to 2005. He admitted his companies withheld the tax payments from workers’ checks, including federal income taxes and social security taxes but failed to make about $4 million in payments to the IRS, prosecutors said.

The companies Phillips owned included:

JP Holdings, LLC, formed in Shawnee, Kan., in 2002, which was the sole or primary shareholder for other entities.

Citadel Holdings, LLC, which operated a nursing home in St. Joseph, Mo.

Citadel Partners, LLC, which provided employees to a nursing home in St. Joseph, Mo.

Rainmakers, LLC, a management company.

Elk Manor, LLC, which provided management services for a nursing home in Moline, Kan.

LTC-ES, a payroll company providing services to nursing homes.

LVCO, LLC, which provided employees and management services to a nursing home in Leavenworth, Kan.

Bladen Foods, LLC, a meat processing plant in El Dorado.

Lush Farms, LLC, which purchased, bred and raised show cattle on 80 acres near McLouth, Kan.

ViaCare Home Health, LLC, a home health care company.

Elf Support Services, LLC, an in-home nursing service in Emporia.

Midwest Nursing Home Investors, LLC, which provided employees to in-home nursing services.

Jewell Healthcare, LLC, which provided employees to nursing facilities.

 

Category: News, Nursing Homes

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    What’s gonna happen now to all the companies that he has?

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    Sad to hear this. We should be responsible for all our accounts, in fact he has lots of..

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    Owner of nursing homes who does not pay tax on a regular
    basis should be ashamed of their selves. They should be the one who can
    demonstrate a good role model in a community.
     

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