BOSTON − A Randolph woman who ran a temporary-employment agency in Quincy has been convicted on federal charges that she hid more than $3.2 million in payroll to avoid taxes,

Lilian Giang, 56, was found guilty on Wednesday, April 11, following a three-day jury trial in U.S. District Court in Boston on four counts of failing to collect and pay taxes and one count of mail fraud, according to the U.S. Attorney's Office for the District of Massachusetts.

“Every honest taxpayer is a victim of this type of crime. This defendant made hundreds of thousands of dollars after she decided that the rules we all live by don’t apply to her," said Acting U.S. Attorney Joshua S. Levy. "Now she’s a convicted felon. This should send a clear message that if you engage in tax fraud, the consequences are very serious.”

Giang was indicted in March 2023 and has remained free as the case made its way through the court..

Between 2015 and 2019, Giang owned and operated Able Temp Agency, which served client companies in Massachusetts, a news release on her conviction said. The clients paid Able Temp Agency for the temporary employees' work on an hourly basis.

Giang deposited those payments into bank accounts in the name of Able Temp Agency that she controlled and then paid the employees through a combination of checks and cash, according to news release.

Background: Feds charge owner of Quincy temp agency with hiding payroll money

Prosecutors alleged that by using cash, Giang hid more than $3.2 million in payroll and avoided paying $815,000 in required payroll taxes. They also said Giang used her false payroll numbers to obtain worker's compensation insurance at a lower cost.

“Lillian Giang operated her business under the guise of helping the vulnerable Vietnamese immigrant community, when, in fact, she exploited them for her own self-enrichment by paying them below minimum wage, charging substantially more than she paid them and evading paying her own fair share of taxes,” said Special Agent in Charge Harry T. Chavis Jr. of the IRS Criminal Investigation Boston Field Office.

U.S. District Court Judge Richard G. Stearns scheduled Giang's sentencing for July 2024.

The charge of mail fraud carries a sentence of up to 20 years in prison, three years of supervised release, a fine of $250,000 or twice the gross gain or loss, whichever is greater; and restitution and forfeiture.

The charge of failure to collect or pay taxes carries a sentence of up to five years in prison, three years of supervised release, a fine of $10,000 and restitution.

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Reach David R. Smith at [email protected].

News Source : https://www.patriotledger.com/story/news/2024/04/17/federal-jury-convicts-owner-of-quincy-temp-agency-for-not-paying-taxes/73325101007/