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Greenbrier County business owner pleads guilty for failing to pay employment taxes

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BECKLEY, W.Va. – A Greenbrier County man pleaded guilty today to a federal tax crime, announced United States Attorney Carol Casto. Brandon J. Black, 32, of Rainelle, entered his guilty plea for failing to pay employment taxes.  

Black owned and operated a private security business in Lewisburg that provided services to businesses and individuals throughout West Virginia. The business initially began as Professional Security Services and then started operating as CLB Security in 2014. Black admitted that he was responsible for collecting, accounting for, and paying over to the IRS federal income taxes and Social Security and Medicare taxes that were withheld from the wages of employees. Black further admitted that between January 2010 and June 2015, he withheld over $400,000 from employee paychecks and failed to pay over the money to the IRS. He also admitted that he failed to pay over more than $230,000 to account for his share of additional taxes as an employer. Black admitted that the total tax loss for his criminal conduct is over $630,000, and he also admitted that he owes that same amount to the IRS as restitution.

Black faces up to five years in federal prison and a fine of up to $250,000 when he is sentenced on February 8, 2017.

This case was investigated by agents of the IRS – Criminal Investigation Division, the FBI, and the West Virginia Office of the Insurance Commissioner – Fraud Unit. Assistant United States Attorney Eric Bacaj is handling the prosecution. The plea hearing was held before United States District Judge Irene C. Berger.


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