A former Virginia business owner, Richard Moore, was sentenced to 80 months in prison for failing to account for and pay employment taxes to the Internal Revenue Service (IRS). The sentencing took place today, following proceedings in the Western District of Virginia.
According to court documents and statements made in court, Moore served as executive vice president and part owner of Nexus Services Inc., a company based in Verona that provided bond securitization and other services to immigrants detained by U.S. Immigration and Customs Enforcement. In his role, Moore was responsible for withholding Social Security, Medicare, and income taxes from employees’ wages and ensuring those funds were paid over to the IRS.
The payment of these employment taxes is essential for government programs such as Social Security and Medicare, as well as federal income tax collection. Between the first quarter of 2015 and the first quarter of 2024, Moore withheld these funds but failed to remit them or file required returns. The total tax loss caused by this conduct amounted to approximately $3.1 million.
During this period, instead of paying the withheld taxes, Moore used millions of dollars from the company on personal expenses. These included spending more than $500,000 on luxury cars—such as three Ferraris, three Maseratis, two BMWs, and a Mercedes Benz—as well as over $573,000 on his wedding in August 2016. Additionally, he spent more than $1.1 million to write, publish, and promote a book authored by his spouse.
U.S. District Judge Elizabeth K. Dillon also ordered Moore to serve three years of supervised release following his prison term and pay restitution totaling $3,023,984 to the United States.
The case was investigated by IRS Criminal Investigation.
