An Ellicott City man is one of two owners of a corporation who pleaded guilty last week to income tax evasion for tax year 1984, according to the U.S. Attorney's Office in Baltimore.
Dr. Alagu Thiruvengadam, 56, of Ellicott City, and Dr. Ambrose Hochrein Jr., 51, of Olney, entered pleas before U.S. District Judge Norman Ramsey.
The two men are owners of Daedalean Inc. of Woodbine, which is primarily engaged in defense contract work for the federal government.
U.S. Attorney Breckinridge Willcox said last week that Hochrein and Thiruvengadam fraudulently failed to report income on their 1984 income tax return by employing various schemes that used their corporation and partnerships.
Hochrein reported taxable income of $36,729, when his actual taxable income was $146,862. Thiruvengadam reported a taxable income of $30,245, when he had a taxable income of $179,533.
The guilty pleas were the result of a plea bargain with the federal government. The U.S. Attorney's Office said it will recommend six months in prison followed by a period of probation for each man.
The maximum penalty is 5 years imprisonment, a $250,000 fine and a $50 special assessment.