The owner and operator of Maryland-based staffing companies that provided workers for third-party manufacturing businesses pleaded guilty on Wednesday to withholding and failing to remit taxes to the Internal Revenue Service, the US Department of Justice announced Wednesday.
According to the department, the owner, Jonas Purisch, withheld but failed to pay the IRS more than $2 million in payroll taxes between March 2018 and March 2021 on behalf of employees of Titan Staffing Network Inc. and Titan Services LLC.
Purisch was previously convicted in the District of Maryland in 2013 and sentenced to three months in prison for filing a false individual income tax return and willful failure to file a tax return.
As part of his plea, Purisch agreed to pay more than $3.4 million in restitution to the IRS. The amount includes the employer’s share of the employment taxes Purisch owed to the IRS.
Purisch is scheduled to be sentenced on Dec. 12. He faces a maximum of five years in prison for intentionally failing to account for and pay over-employment taxes. He also faces a period of supervised release, restitution and monetary penalties.