Pennsylvania staffing company owner pleads guilty to tax evasion
Howard Ginting, 30, was charged earlier this year with failing to pay nearly $217,000 in taxes he was supposed to be withholding from the paychecks of his employees at the now-defunct Ginting Enterprises Inc. and Trojan Services Inc.
He entered his guilty plea to a single tax evasion count before U.S. Middle District Senior Judge William W. Caldwell. Assistant U.S. Attorney Gordon A. Zubrod told the judge that, under a plea deal, prosecutors will recommend that Ginting receive a prison sentence in the 1- to 1 1/2-year range.
The count to which Ginting pleaded carries a maximum possible penalty of 5 years in prison and a $250,000 fine. He had been slated for trial in the case next month. Caldwell did not set a sentencing date.
Federal Public Defender Lori J. Ulrich said Ginting accepts responsibility for the tax fraud investigators say spanned from 2006 to 2011 and involved underpayment, and in some cases nonpayment, of Social Security and Medicare taxes. Ginting was charged based on a probe by the Harrisburg office of the IRS.
Ginting, who told Caldwell that he now lives with his parents and works at a restaurant, will also have to settle up with the IRS, Zubrod noted.
The prosecutor said Ginting was the sole owner of Ginting Enterprises when the tax fraud was committed for that firm between 2006 and 2008. The evasion continued when Ginting closed that firm and began operating Trojan Services, Zubrod said.
Ginting's companies furnished day laborers for firms throughout central and northeastern Pennsylvania.