A man from California has admitted guilt in a case involving the failure to pay employment taxes. John Comeau, CEO of Vivid, Inc., entered his plea in San Jose today. The company, based in Santa Clara, provides metal coating services across various sectors.

Court documents and statements reveal that between the first quarter of 2010 and the end of 2019, Vivid withheld Social Security, Medicare, and income taxes from employee wages. However, Comeau did not ensure these funds were reported and paid to the IRS. This resulted in a tax loss of approximately $1,150,000.

Comeau is due for sentencing on April 30, 2025. He could face up to five years in prison along with supervised release, restitution, and financial penalties. The final sentence will be determined by a federal district court judge after considering U.S. Sentencing Guidelines and other legal factors.

The announcement was made by U.S. Attorney Ismail J. Ramsey, Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, and IRS Criminal Investigation (IRS-CI) Oakland Field Office Special Agent in Charge Linda Nguyen.

The investigation is being conducted by IRS-CI while Assistant U.S. Attorney Ilham Hosseini and Trial Attorney Mahana Weidler are prosecuting the case.