A former CT man is 72 and he’s going to prison for tax fraud. He also has to pay back $1M+

A 72-year-old former Connecticut man has been sentenced to over a year in prison on tax fraud charges, officials said.

Kevin Biebel of Hardeeville, South Carolina, formerly of New Milford, was sentenced Friday by U.S. District Judge Kari Dooley in Bridgeport to 18 months in prison, followed by one year of supervised release, for tax fraud charges, according to the United States Attorney's Office for Connecticut .

According to court documents and statements made in court, Biebel operated Art Metal Industries LLC, a metal fabrication business. In 2017, AMI had total gross receipts of more $1.5 million and a net profit of more than $550,000, officials said. That year, Biebel allegedly transferred more than $350,000 from AMI to his personal bank account for various personal expenditures.

In 2018, the IRS sought to collect delinquent payroll taxes from Biebel for AMI and instructed Biebel to file delinquent individual income tax returns for 2016 and 2017. In September 2018, Biebel filed the returns, which officials said fraudulently reported that he had zero total income and zero total tax due for both years.

In 2018, AMI received more than $2.7 million in gross receipts and had a profit of more than $1.2 million. That year, Biebel transferred funds from an AMI bank account to his personal bank account and another bank account held in the name of Diego Trust LLC, a limited liability company for which Biebel was the sole listed member. Biebel used more than $750,000 in funds from those accounts to purchase a home in South Carolina and other assets, according to officials.

Biebel also failed to file individual income tax returns for 2018, 2019, and 2020 tax years, officials said.

Between 2016 and 2020, Biebel failed to report more than $2.8 million in business income from AMI, resulting in a tax loss of approximately $900,000. In addition, he failed to withhold and pay over approximately $300,000 in employment taxes.

On April 30, 2024, Biebel pleaded guilty to filing a false tax return and was ordered to pay $1,208,801 in restitution.

Biebel, who is released on a $50,000 bond, is required to report to prison on Jan. 7.