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Huntley businessman pleads guilty to failing to pay federal taxes

A Huntley businessman pleaded guilty in federal court Monday to causing false union benefit fund statements and to failing to pay more than $600,000 in Federal Insurance Contributions Act taxes.

Thomas Manning, 60, president of Huntley-based T. Manning Concrete Inc., filed the written pleas before U.S. District Court Judge Frederick J. Kapala. Sentencing is scheduled for 2:30 p.m. Jan. 24.

The charge of filing a false statement and concealment of facts in relation to documents required by the Employee Retirement Income Security Act, and the charge of willful failure to collect or pay FICA taxes, each carry a maximum of 5 years imprisonment and a $250,000 fine. Each count also carries a maximum period of up to 3 years of supervised release after imprisonment.

Since at least 2007, Manning defrauded union contracts' benefit plans by understating the number of hours worked by T. Manning Concrete's covered employees in monthly reports, and underpaying the monthly contributions required on behalf of covered employees, according to the plea agreement.

According to federal officials, Manning admitted that to conceal the understatement of hours and defraud the benefit plans, he caused employees to be paid for additional hours "under the table," using checks drawn upon nonpayroll bank accounts under his control.

Manning admitted to failing to report and pay approximately $2 million due to employee benefit funds. He further admitted that by falsely reporting the number of hours worked by employees, he caused the benefit plans to make false statements in their required annual reports.

He also admitted that between 2007 and 2010, he failed to collect and pay more than $600,680 for employees' share of FICA taxes due to the IRS on the wages paid using "under the table" checks.

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