Southwest Virginia Brothers Sentenced For Defrauding United States Of Hundreds Of Thousands Of Dollars

The brothers and owners of a Southwest Virginia Industrial electronics company are sentenced to 12 months in prison for defrauding the United States out of more than 900 thousand dollars. Harold and Hollie Kennedy, owners of Kennedy Industrial Electronics in Russell County were convicted of a payroll tax scheme that dated back 15 years. Court documents revealed between 2001 and 2015 the defendants conspired to defraud the United States through a scheme in which the two failed to report to the IRS and SSA over 500 thousand dollars in wages resulting in more than 900 thousand dollars in disability payments being made that should never have been paid.