Nelsons to serve time for tax fraud scheme

Father and son ordered to pay over $1.8 million restitution

A Letcher father and son were sentenced in a Sioux Falls federal court last Monday, nearly 11 months after being found guilty of conspiracy to defraud the United States, multiple counts of failure to file an income tax return and impeding the Internal Revenue Service.
Ted Nelson and his son, Steve Nelson, were “jointly or severally” ordered to pay a total restitution of $1,842,102.14, meaning one or both of them could pay the bill.
Ted Nelson was sentenced to five years in prison and three years of supervised release and was ordered to pay $250 in special assessments. He had been detained since a jury found him guilty in May 2015.
Steve Nelson was sentenced to one year and one day in prison and three years of supervised release. He was also ordered to pay $250 in special assessments. The court approved a motion to allow him to surrender himself on his own accord to begin his sentence on April 18.
The Nelsons’ tax evasion scheme began prior to 2002. Together, Ted and Steve Nelson formed a number of trusts, corporations, LLCs and other entities in an effort to avoid paying income taxes. The pair claimed to be a part of a sovereign group called the Pembina Nation Little Shell Band of North America.
During trial, Ted Nelson, representing himself, said he believed that he could not pay income taxes because only God owns anything on the planet.
Steve did not use the sovereignty defense and filed a motion to sever his case from his father. The motion was denied.
Ted Nelson, who served a year in prison in 2011-12 for harboring a man wanted for tax fraud and other federal crimes, received a 60-month sentence April 4 for the charge of conspiracy to defraud the United States. He also received 12 months for seven counts of failure to file an income tax return and 10 months for impeding the IRS, all to be served concurrently.
Steve Nelson was sentenced to 366 days in prison for conspiracy to defraud the U.S., 12 months for eight counts of failure to file income tax returns and for impeding the IRS, also to be served concurrently.

Comments are closed.

  • Weather

    Woonsocket
    August 13, 2022, 7:41 am
    Mostly cloudy
    67°F
    real feel: 67°F
    humidity: 97%
    wind speed: 7 mph NNW
    wind gusts: 13 mph
     
  • Upcoming Events

    August 2022
    Sunday Monday Tuesday Wednesday Thursday Friday Saturday
    July 31, 2022 August 1, 2022 August 2, 2022 August 3, 2022 August 4, 2022 August 5, 2022 August 6, 2022
    August 7, 2022 August 8, 2022 August 9, 2022 August 10, 2022 August 11, 2022 August 12, 2022 August 13, 2022
    August 14, 2022 August 15, 2022 August 16, 2022 August 17, 2022 August 18, 2022 August 19, 2022 August 20, 2022
    August 21, 2022 August 22, 2022 August 23, 2022 August 24, 2022 August 25, 2022 August 26, 2022 August 27, 2022
    August 28, 2022 August 29, 2022 August 30, 2022 August 31, 2022 September 1, 2022 September 2, 2022 September 3, 2022
  • Recent Posts

  • Contact Us

    Ph/Fax: 605.796.4221
    Email: swj4221@icloud.com

    PO BOX 218
    Woonsocket, SD 57385
  • Archives