MYRTLE BEACH, SC (WMBF) – A Myrtle Beach business owner was arrested Saturday, accused of preparing false tax returns, tax evasion, forgery, and breach of trust.
Michael Ray, owner of Litigation Support Services, LLC was arrested by the South Carolina Department of Revenue, according to a news release from SCDOR.
Ray is charged with four counts of assisting in the preparation of false tax returns. The release states from 2011 to 2012, he “knowingly and intentionally prepared false returns without the consent of his clients.” If convicted, Ray faces fines up to $500 and up to five years in prison per charge.
Ray is also charged with three counts of tax evasion. “In 2012, the defendant earned approximately $183,925 but only reported a total income of $1,154 on his tax return. He evaded paying more than $7,000 in taxes due to the state. In 2013 and 2014, Ray failed to timely and voluntarily file his tax returns and evaded paying an additional $9,734 in taxes,” the release states. He could face fines up to $10,000 and up to five years in prison per charge.
The four counts of forgery stem from 2011 to 2014. “Without the knowledge or consent of his clients, Ray wrote and deposited checks to his business for more than $10,400 from his clients’ accounts,” according to the release. Ray faces fines at the discretion of the court and up to five years in prison per charge.
Ray is also charged with one count of breach of trust with fraudulent intent. Ray took over $5,000 from a business he was a shareholder in and deposited it into his own account for personal use. He faces fines at the discretion of the court and up to five years in prison if convicted.
Ray is currently being held at the J. Reuben Long Detention Center.
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