KGUN 9News

Actions

Water company owner pleads guilty to tax charge

Posted

YUMA, Ariz. (AP) - The owner of a water company in Yuma has pleaded guilty to a federal charge of failing to pay taxes.
    
The Yuma Sun reports (http://bit.ly/1NenDyr) that Philip Kevin Clark, owner of the Diamond Brooks Water Company, pleaded guilty Monday. He acknowledged failing to pay the government $297,000 that he collected from his employees for employment-related taxes from 2001 through 2009.
    
Clark also acknowledged that in September 2011 he failed to pay the government more than $31,000 in taxes that had been withheld from employee paychecks.
    
Prosecutors alleged Clark stole water from the city of Yuma, failed to pay taxes he collected from his employees and didn't file corporate and individual tax returns for several years.
    
Other charges against him will be dismissed as part of the plea agreement.