The owner and operator of some Charlotte-area laundromats pleaded guilty to tax evasion in federal court Wednesday, said acting U.S. Attorney Jill Rose.
Teng Lor, 55, of Matthews appeared before U.S. Magistrate Judge David Cayer and admitted to concealing from the IRS significant personal earnings derived from his businesses, T&C Equipment Inc. and LOR Enterprises Inc., Rose said.
Between tax years 2010 and 2012, Lor deposited cash receipts from the businesses totaling more than $1.5 million into his business and personal bank accounts, court records show.
The deposits were structured to avoid the filing of currency transaction reports, prosecutors said. Lor failed to disclose or provide records from all of the bank accounts to his tax return preparer, prosecutors said.
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For tax years 2010 through 2012, T&C Equipment and LOR Enterprises earned additional gross receipts totaling about $744,162 that Lor failed to report on the corporate tax returns filed with the IRS, court records show.
As a result of the unreported gross receipts, Lor had additional taxable income of $544,261, according to the records.
For the same tax years, Lor also failed to report all of his income on his individual state income tax returns, records show.
Lor pleaded guilty to one count of tax evasion, which carries a maximum penalty of five years in prison and a $250,000 fine.
As part of Wednesday’s plea agreement, Lor has agreed to pay restitution, the amount of which will be determined by the judge at Lor’s sentencing hearing, which has yet to be scheduled. Lor is free on bail pending his sentencing.