By Matt Miller, KTOO
Sentencing is planned for this spring for a Skagway Borough Assembly member and businessman convicted of willful failure to timely file income tax returns.
60-year-old Dan Henry, operator of the Skagway Fish Company, pled guilty to four misdemeanor charges Tuesday morning in US District Court in Juneau. A plea agreement was reached between prosecutors and Henry’s attorney after nearly two years of negotiations.
Assistant US Attorney Jack Schmidt explained how Henry would refuse to designate any annual income over a thousand dollars in four years’ worth of financial disclosure reports to the Alaska Public Offices Commission. Yet, on at least a dozen and a half occasions between 2008 and 2012, Henry would ask a family member for a cashier’s check or a deposit of between $9,000 and $9,900 dollars to evade US currency laws and conceal his income from the Internal Revenue Service. Banks normally report any money transfers of $10,000 or more.
Defense and prosecutors recommended a prison term of between eight and 24 months in prison, but U-S District Court Judge Timothy Burgess has the discretion to impose a longer term. Henry will also be ordered to pay $660,064 dollars in restitution to the IRS for unpaid taxes between 2004 and 2012.
Because Henry signed off on the plea agreement in January, prosecutors agree they won’t prosecute him for any other related offenses revealed by their latest investigation. But Henry no longer has the right to appeal the conviction or a possible sentence.
Henry declined to comment when leaving the courtroom, and said he would make a decision about his future with the Skagway Borough Assembly after he returns home. He was first elected in 1998.
Judge Burgess decided against confiscating Henry’s passport after hearing from defense attorney Robert Bundy. He explained that Henry routinely made day trips across the border to Whitehorse, Yukon for restaurant supplies.
Sentencing is planned for May 18.