As the bookkeeper, she allegedly paid “ghost employees” to hide compensation.
The former payroll manager for a home healthcare company has been charged with a federal tax offense.
According to court records, Innis Frederick, 61, of Saint Cloud, Florida, worked for Equinox Home Care, which was originally established as a partnership between Frederick’s sister, Theresa Foreman, and another individual.
Between approximately 2012 and 2016, Frederick assisted Foreman by processing payroll that caused checks to be issued to “ghost employees” who did not actually work for the company.
The money paid to the ghost employees was actually paid to Foreman, who did not report the hundreds of thousands of dollars of income on her tax returns.
By submitting false payroll data, Frederick also caused false Forms W-2 and W-3 to be submitted to the IRS.
If convicted, Frederick faces up to five years in prison.