n Anaheim woman who was an executive of a cash-based adult entertainment company was sentenced Monday to probation and restitution for cheating the Internal Revenue Service out of taxes, authorities said.
Catherine Shidad, 34, pleaded guilty in September in U.S. District Court in Los Angeles to a charge of filing a false tax return on behalf of her employer, Universal Media Management, with offices in Santa Fe Springs and Cerritos.ADVERTISEMENT
Shihad caused a tax preparer to file a federal corporate income tax return for the fiscal year ending Sept. 30, 2004 that contained false information, U.S. Department of the Treasury Special Agent Linda Lowery said.
UMM's net income was substantially more than the amounts reported on the 2004 tax return, according to the IRS. The estimated lost tax revenue totaled about $140,000, Lowery said.
Shihad was sentenced by U.S. District Judge Stephen V. Wilson to three years probation and ordered to pay restitution of $140,000, according to Assistant U.S. Attorney Angela J. Davis.
A business associate of Shihad, Oscar Macias, 36, also of Anaheim, also has pleaded guilty in the scheme and is scheduled to be sentenced Jan. 9. Like Shihad, he faces a maximum of three years in federal prison and a fine of $250,000.
UMM's business consisted of providing live adult entertainment to customers who made cash payments to the company, Lowery said.
http://www.ocregister.com/news/tax-3...ad-return.html